Why are doctors not accepting Medicaid?

Asked by: Callie O'Conner  |  Last update: April 19, 2025
Score: 4.5/5 (72 votes)

One reason is that reimbursement rates for Medicaid are lower than for Medicare or commercial insurance. Another (often overlooked) factor, however, is physician's risk of payment denials and the administrative hassle they face trying to get reimbursed by Medicaid.

What percentage of US doctors accept Medicaid?

The percentage of physicians accepting new Medicaid patients (68.9%) was lower than the percentage accepting new Medicare (83.7%) or new privately insured (84.7%) patients.

What to do if my doctor doesn't accept Medicaid?

Call your state's Medicaid office, they should be able to direct you to the nearest hospital that accepts Medicaid. While you are on the phone ask them for the names of specialists of the type you need who practice at that hospital. Unfortunately, with the low rate of pay of Medicaid it can be hard to find providers.

Why is Medicaid not accepted?

One likely reason fewer doctors accept Medicaid patients is that those claims are paid at a lower rate than other insurance. More providers would be interested in Medicaid if the program's reimbursements were similar to Medicare payments, according to the report.

Do a lot of doctors accept Medicaid?

Nearly 70% of physicians accept new Medicaid patients.

SOURCE: Hing et al., “Acceptance of New Patients with Public and Private Insurance by Office- based Physicians: United States, 2013,” NCHS Data Brief, No. 195, March 2015, CDC, USDHHS.

"Will doctors continue to accept Medicaid patients?"

20 related questions found

Who uses Medicaid the most?

In 2020, Medicaid and CHIP provided coverage for nearly 55 million people of color. These programs provide essential coverage for a population that is more diverse than the broader U.S. population—especially among children, with 61 percent of Medicaid and CHIP enrollees under age 19 being children of color.

How do doctors feel about Medicaid?

Medicaid patients experience increased barriers to care compared with privately insured patients. In a nationwide survey of primary care providers in 2015, only 45% indicated they were willing to accept new Medicaid patients while 94% were willing to accept new privately insured patients.

What is the downside of Medicaid?

Disadvantages of Medicaid

One of the primary reasons for this is that Medicaid reimbursements are lower than those of commercial insurers for most procedures and treatments.

Why would Medicaid deny you?

Approximately 75% of all Medicaid application denials are due to missing documentation. If an application is not complete, it can be rejected. In some instances, you may be asked to produce additional documentation.

What does Medicaid not cover?

Though Medicaid covers a wide range of services, there are limitations on certain types of care, such as infertility treatments, elective abortions, and some types of alternative medicine. For example, the federal government lists family planning as a mandatory service benefit, but states interpret this differently.

What are the four types of Medicaid?

There are four types of Medicaid delivery systems:
  • State-operated fee-for-service (FFS)
  • Primary care case management (PCCM)
  • Comprehensive risk-based managed care (MCO model)
  • Limited-benefit plans.

Does Medicaid not pay doctors?

On average, Medicaid FFS physician payment rates are two-thirds of the rates Medicare pays, although this varies greatly by state and service.

Can doctors see your prescription history?

Most times yes. There are instances where a patient's medical records may not be accessible without an additional signed consent from the patient. Again though, yes, clinicians can see what has been prescribed for patients.

Why do many doctors refuse to see patients with Medicaid?

Specialty specific physicians may be less likely to accept Medicaid due to a combination of factors. Lower reimbursement rates for specialized services compared to primary care, complex case management, and potential language barriers with patients that all play a role in making decisions.

Who is the largest Medicaid provider in the US?

Today, Centene is the largest Medicaid managed care organization in the nation serving 13.1 million members, and a leader in California, Florida, New York, and Texas, four of the largest Medicaid states.

Why isn t Medicaid accepted everywhere?

Nationally, Medicaid reimburses providers for their services at 66 percent the rate of Medicare and at even lower than that compared to private insurance. So the business argument goes like this: To maximize revenue and margins, prioritize patients with private insurance and turn away those with Medicaid.

What disqualifies you from Medicaid?

In general, a single person must have no more than $2,000 in cash assets to qualify. If you're over 65, the requirements are more complex. Whatever your age, there are strict rules about asset transfers. Medicaid may take into consideration any gifts or transfers of cash you've made recently.

How to fight Medicaid denial?

Requesting a reversal is, by far, the fastest approach to changing a Medicaid denial to an approval. This approach can take days, while a formal appeal or a re-application can take several months. Furthermore, a reversal preserves the applicant's original date of application.

What is the biggest flaw in Medicaid?

The program is not without its critics: 12 states did not expand their Medicaid programs vis-à-vis the Affordable Care Act's inducements, and many state legislators believe the fiscal viability of the program is fatal unless eligibility criteria are tightened and enrollees are required to make copayments or gain ...

Why do people not like Medicaid?

Republicans also generally don't like Medicaid. They see it as program that primarily serves Democratic voters (there are about 20 million Republicans on Medicaid), and as a form of welfare with little difference from cash assistance, and not as health coverage.

Can you get in trouble with Medicaid?

It is illegal to submit claims for payment to Medicare or Medicaid that you know or should know are false or fraudulent. Filing false claims may result in fines of up to three times the programs' loss plus $11,000 per claim filed.

Does Medicaid pay doctor bills?

Certain services are covered in every state, including:

Physician services. Skilled nursing facility services.

What are some disadvantages of Medicaid?

Yet for State and Federal legislators, executive officials, and the public, Medicaid is the program that costs way too much. Advocates for the poor, as well as health care providers, complain that the program has an enormous amount of unnecessary paperwork and a blizzard of byzantine rules.

How often does Medicaid check your income?

Yes, income and assets have to be verified again for Medicaid Redetermination. After initial acceptance into the Medicaid program, redetermination is generally every 12 months. The redetermination process is meant to ensure the senior Medicaid beneficiary still meets the eligibility criteria, such as income and assets.