If Insurers Leave the State Exchange, New York Governor Will Ban Them From Medicaid

by | June 6, 2017

By James T. Mulder

Any insurers that leave New York's health insurance exchange will be banned from participating in the state's Medicaid program or contracting with any state agencies under regulations Gov. Andrew Cuomo announced yesterday.

Cuomo also will make all insurers who do business on the state's exchange guarantee the 10 essential health benefits required by the federal Affordable Care Act, also known as Obamacare. "We will not stand idly by as ultra-conservatives in Washington try to roll back the progress we have made to expand access quality, affordable health care, putting our most vulnerable New Yorkers at risk," Cuomo said in a statement.

Cuomo also said the state will take steps to prevent any discrimination based on gender, age or pre-existing conditions.

A bill already narrowly approved in the House would allow states to opt out of the 10 essential benefits, which include things like hospitalization, maternity and pediatric care, lab work, and mental health and addiction services. It's unclear what will happen to the bill in the Senate. More than 1 million New Yorkers have obtained insurance as a result of Obamacare.

The New York Health Plan Association, which represents insurers, said banning plans from participating in Medicaid if they withdraw from the insurance exchange could create more uncertainty for New York insurers than the proposals under discussion in Washington, D.C.

(c)2017 Syracuse Media Group, N.Y.