Three states are changing Medicaid contract providers for their managed care programs. Indiana is awarding contracts to Humana, UnitedHealthcare, and Anthem Blue Cross Blue Shield after Molina Healthcare lost approval to manage a Medicaid program. New Mexico will not renew its contract with Centene’s Western Sky Community Care, choosing instead Blue Cross Blue Shield of New Mexico, Presbyterian Health Plan, United Health Plan, and Molina Health Plan. Idaho dropped Optum and awarded a $1.2 billion contract to Centene’s Magellan Healthcare subsidiary for its behavioral health plan.
Three states have made decisions to change Medicaid contract providers for their managed care programs. Here are the developments reported by Becker’s since July:
1. Indiana has decided not to award Molina Healthcare a contract for managing a new Medicaid long-term services and supports program. Molina’s regulatory filings indicate that they were unable to secure approval from CMS for a dual eligible special needs program in Indiana by 2024. Consequently, the state is moving forward with plans to contract Humana, UnitedHealthcare, and Anthem Blue Cross Blue Shield to manage the program.
2. New Mexico has chosen not to renegotiate its Medicaid contract with Centene subsidiary Western Sky Community Care. In August, the state announced its intention to award contracts to Blue Cross Blue Shield of New Mexico, Presbyterian Health Plan, United Health Plan, and Molina Health Plan.
3. Idaho has terminated its contract with Optum, which was the managed care contractor for its behavioral health plan for a decade. Instead, the state has awarded a four-year, $1.2 billion contract to Centene’s Magellan Healthcare subsidiary.