The state has embarked on a mandatory income eligibility review of about 150,000 households receiving Medicaid benefits — covering as many as 260,000 people, more than one in three Alaskans. Nearly 500 Wrangell households could be in that stack.
That represents about half of all the households in the community of just under 2,100 residents.
The Alaska Department of Health reported an average monthly caseload of 476 Wrangell households enrolled in Medicaid in the fiscal year that ended June 30, 2022.
The program provides health care coverage for lower-income individuals and families, with the federal government picking up most of the cost and the states paying the rest. Income limits vary by household size and whether children in the household under the age of 19 are covered by other insurance. For a family of four in Alaska, the monthly income limit varies from $4,157 to $6,344.
The federally required annual review of income eligibility for Medicaid recipients was suspended for three years due to the COVID-19 pandemic. The federal government has lifted the suspension and the state Division of Public Assistance has restarted its reviews, with the pace expected to pick up this summer.
Regardless of income, no Alaskan will have their coverage involuntarily terminated before June 1, according to Deb Etheridge, director of the Division of Public Assistance.
During the pandemic, the federal government paid to help keep people enrolled in Medicaid even if their incomes increased beyond eligibility limits, while eliminating the annual review requirement. Congressional action last December returned the program to its past practices.
“This is just reinstating that sort of traditional practice of annual renewal for our Medicaid beneficiaries,” Etheridge said during an hour-long online presentation April 4 hosted by the University of Alaska Anchorage.
The pace of reviews is expected to start slowly April through June, then pick up July through December, Etheridge reported during the online session.
Under the review, Alaskans who no longer meet the income limits will lose Medicaid coverage. They have the option of going to the federal marketplace for subsidized private insurance provided under the Affordable Care Act.
The state is advising Medicaid recipients to make sure their contact information is correct so that they receive their review questionnaire. People can update their information online at the division’s website or by calling the state’s Medicaid Information Update Hotline at 833-441-1870.
Anyone losing coverage will receive a notice at least 10 days before the effective date and will be able to appeal the decision, Etheridge said.
Total state Medicaid funding in Alaska has remained relatively stable during the past decade at roughly $600 million a year, but federal funding has increased from about $800 million in 2012 to more than $1.8 billion in 2022 as the number of enrollees has increased.
The Division of Public Assistance reports about 30,000 more Alaskans are enrolled in the health care program than at the start of the pandemic in 2020.
About 42% of Alaska residents up to 19 years old were covered by Medicaid as of January 2022. The number was 23% for Alaskans 20 through 64 years old. At age 65, Medicare takes over with health care coverage for senior citizens.
Juneau Empire reporter Mark Sabbatini contributed to this report.
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