Medicaid Expansion Explained

I am happy with the medical insurance coverage that I receive.  But then, I am a retired military officer over the age of 65.  Why should I care if New Hampshire adopted the Medicaid Expansion features of Obamacare. I care because members of my family, with children, cannot afford Medical Insurance.  They cannot afford preventative health measures to stay healthy so when they get sick, they go to a clinic or the emergency room.  Guess who pays for their health care.  You and I through higher provider and insurance costs.

The Medicaid Expansion provision will allow individuals and families earning less than 138% of the Federal Poverty Line (FPL) to be covered by Medicaid.  That is a family of four with an income of up to $32,499.  For individuals the Medicaid eligibility limit raises to an income of $15,856.

According to the New Hampshire Fiscal Policy Institute, Medicaid expansion will account for approximately 19,000 of the new enrollees who are currently under the FPL and 43,000 who are in the 100% to 138% of the FPL .So, who are these people?  They are wait staff, janitors, school bus drivers, hairstylists, teachers’ aides, grocery store clerks, construction workers, and landscapers.  They are our neighbors, our friends, and the people who provide us with the services we demand.

It is a proven fact that individuals with health insurance are healthier and have better health outcomes. The New England Journal of Medicine has noted that the insured have statistically significant positive financial and mental health outcome.  According to the New Hampshire Center on Public Policy, the insured are five times more likely to have a colon screen than the low income uninsured.  The insured are four times more likely to have a doctor’s visit as a regular source of health care.

I am a strong supporter of the free enterprise system.  Medicaid Expansion will result in a healthier society and will improve the fiscal postures of the health care providers as well as the insurance companies.  Low income families will pay less of their personal income for health care leaving more for discretionary spending thus adding to the economy.  Bad debt and charity cases will reduce and thus become less of a burden on our society.  A healthier society will lead to job growth and an improving economy.

Taking a quick look at the economics for New Hampshire under Medicaid Expansion:  There will be approximately 60,000 new enrollees; the state’s share of the cost is about $18 million over 7 year; the Federal share for NH will be $2.4 Billion over 7 years; Identified cost savings for a healthier state will be about $64 million over 7 years; Thus, the net state cost over 7 years is an approximate savings of $45 million.

The right wing conservatives will cry about the increase to the national debt, will tell you that the projected cost savings and fees and taxes outlined in Obamacare will not offset the increases, and will talk about the “crowd out” effect of qualified individuals switching from private to public insurance.  They will tell you that the Medical Industry will not be able to support the increase in demand.  They are crying wolf. The facts and time will prove them wrong.  Let’s take the positive approach and support our friends who are in need.

I urge all of you to send an email or letter to Senator Nancy Stiles urging her to vote for Medicaid Expansion.  It is the best deal ever for us Hampton and New Hampshire citizens.

Dick Desrosiers

Hampton