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Wednesday, July 18, 2012

The New “Doughnut Hole” Describes Coverage Gap Created in States Rejecting the Medicaid Expansion

The Supreme Court’s recent ruling on the Affordable Care Act gave governors new flexibility to reject the law’s Medicaid expansion.

States that reject the Medicaid expansion may create a coverage gap being called the new “doughnut hole." Those that fall into the hole will be people who don’t qualify for their state’s current Medicaid eligibility categories nor are eligible for subsidized private insurance in the marketplaces called exchanges. In Colorado, the majority of those folks would be adults without dependent children between 10 and 133% of the federal poverty level (FPL) and adults with dependent children between 100 and 133% FPL. Read the Washington Post‘s article here.