State releases analysis on dropping out of Medicaid

By David McGrath Schwartz

Thursday, Jan. 28, 2010 | 12:23 p.m.

An analysis of opting out of Medicaid found that dropping out of the federal program would cause as many as 250,000 elderly, disabled, children and poor Nevadans to lose health insurance, while creating a state health care safety net with state dollars would cover just 15,700 people.

Gov. Jim Gibbons asked for the analysis of opting out of the federal health care program earlier this month, as it appeared that health care reform would pass Congress. With health care reform now in doubt, Gibbons’ said Wednesday that he would not pursue opting out for now.

The white paper, prepared by the Department of Health and Human Services, found:

-- 200,000 poor families and children would be dropped from Medicaid coverage.

-- 54,900 elderly and disabled would be dropped from Medicaid coverage.

-- Supplemental coverage for 41,500 low-income seniors on Medicare would also end.

Under the health care bill, some would have been able to buy private insurance on a health care exchange. But, “it is clear that coverage may not be affordable nor cover the services needed by many.”