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New bill means payments by Medicaid recipients

Case Management Weekly, December 28, 2005

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With the intent of reining in the soaring cost of Medicaid, states now have sweeping authority to impose premiums and co-payments on Medicaid recipients. Under the new Budget Reduction Bill, states can also require payments for prescription drugs, doctors' services, and hospital care. States also have the power to freeze doctor's pay under Medicare, and will toughen work requirements for welfare recipients.

In addition, states can end Medicaid coverage for people who fail to pay premiums for 60 days for more. Pharmacists can refuse to fill prescriptions, and doctors and hospitals can deny services for recipients who do not make the required co-payments. The Congressional Budget Office states the controversial bill would save the federal government $26.5 billion in Medicaid and $22.3 billion in Medicare over the next 10 years.

Source: The New York Times

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