Uninsured rate in some states are to hit 40% During Pandemic


The Uninsured rate in some states is to hit 40%. This drop rate in uninsured can be narrowed down to four in 10 residents in the states that have not expanded Medicaid. Primarily due to cutbacks in Medicaid funding as well as unemployment due to COVID-19, those uninsured might be facing new challenges.

The uninsured rate in some states is to hit 40%

According to a recent study by the Urban Insitute, a number of between 25-43 million workers who have become unemployed will lose their employer-sponsored health insurance causing the uninsured rate in some states to hit 40%. In a span of 40 days over 30 million workers filed for unemployment after the lockdown began because of COVID. Those who lost coverage would usually apply to Medicaid, but with the increase in need and the moving of funds to help states stay afloat, Medicaid, might not be able to handle the influx of applications. States such as Ohio, Colorado, and Georgia have already made the public aware of coming cuts that seem to be a consistent 10% or more from normal funding.

Historic Levels of Joblessness

“With historic levels of joblessness around the corner, millions of workers and their families are about to lose their employer coverage,” said Katherine Hempstead, Robert Wood Johnson Foundation’s senior policy advisor. “Our safety net is about to be tested, and it’s going to work a lot better in states that expanded Medicaid.” Many industries were prone to pandemic related layoffs such as the retail, restaurant, hotel, entertainment, dry cleaning, home health and daycare, and transportation services. As this number continues and the number of people uninsured increases, the amount of money used for Medicaid will continue to decrease.

How Can We Keep People Insured?

The researchers at the Urban Institute did, however, come up with a few solutions from their findings. Some of the policy solutions offered were a special open enrollment period for the marketplace nationwide. Another way to increase federal funds for Medicaid support, while others suggested more subsidization of marketplace coverage. As our government continues to figure things out, without a clear date when states will begin to open up, all bets are off. Some states have already begun this process such as Texas and Georgia, with other states planning to follow.

Stay tuned as we keep you updated on all things Medicaid and its current states because of COVID-19.

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