November 15, 2012
By Kristine Crane
Florida could save as much as $100 million a year by expanding Medicaid coverage as part of the Affordable Care Act, according to a study released today by Georgetown University’s Health Policy Institute.
Florida’s expansion of Medicaid would cover an estimated 800,000-1.3 million of the state’s currently uninsured people, without incurring any additional costs, said a media release on the study. It would cover people with incomes at or below 133 percent of the federal poverty level, which is $25,390 for a family of three.
“It’s very high stakes for Florida’s hospitals and healthcare systems,” said Joan Alker, the author of the study and the co-executive director of Georgetown’s Health Policy Institute Center on Children and Families. “If the state extends Medicaid it will result in state savings in safety net programs as well as better, more cost-effective care for Floridians.”
Earlier this week, Gov. Rick Scott expressed openness to applying the ACA. Previously he was opposed to it.
Alker said Florida hospitals especially stand to benefit from Medicaid expansion, since covering more people will allow for preventative care, which generally costs less than emergency room care.
Expanding Medicaid would also indirectly help the state’s uninsured children by covering their parents. Alker estimates that there are 883,000 uninsured parents in Florida–and that 223,000 would become eligible for Medicaid if the state extends its coverage.
“We know from research when you cover parents you cover children,” said Alker. “Parents are healthier and whole family is more likely enrolled in coverage.”