California Removes 850,000 People From Health Care Plan – Newsweek

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Hugh Cameron is Newsweek Live News Reporter based in London, U.K. His focus is reporting on international politics, conflict, and crime. Hugh joined Newsweek in 2024, having worked at Alliance News Ltd where he specialised in covering global and regional business developments, economic news, and market trends. He graduated from the University of Warwick with a bachelor’s degree in politics in 2022, and from the University of Cambridge with a master’s degree in international relations in 2023. Languages: English. You can get in touch with Hugh by emailing h.cameron@newsweek.com

Hugh Cameron

Live News Reporter

Since the expiration of COVID-19 related health care guarantees, public insurance coverage in California has dropped by over 850,000.

The nationwide “disenrollment,” or “unwinding,” process that began last year has seen Medicaid and Children’s Health Insurance Program (CHIP) enrollment in the Golden State fall from around 14.3 million to just over 13.4 million over the 18 months leading up to October 2024, according to KFF, a health policy research nonprofit.

Why It Matters

The change in California’s enrollment rate (6 percent) is less drastic than that seen in other similarly populous states such as Florida and Texas. KFF research shows that its overall disenrollment rate—the number of those who were unable to renew coverage after being disenrolled—of 19 percent, sits below the national average of 31 percent.

However, the high figure still raises concerns about the health care of nearly 1 million Californians. Studies have also found that many disenrollments occurred not due to a lack of eligibility, but rather confusion around the post-COVID unwinding process, state failures to communicate these details to individuals, as well as procedural issues that prevented many from renewing their coverage.

What To Know

The “continuous enrollment” provision was included in The Families First Coronavirus Response Act, passed in early 2020, and ensured that states could not withdraw Medicaid and CHIP coverage from individuals during the course of the coronavirus health emergency.

Redeterminations were put on pause until March 2023, leading to a sharp 13 million increase in the number of those receiving public health care.

However, in the months following the expiry of continuous enrollment, KFF surveys revealed that many individuals did not understand the implications of the unwinding process. Researchers also discovered that delays, administrative errors and other “procedural issues” had resulted in many being unable to complete redeterminations in time to renew their coverage.

There is wide variance in disenrollment rates between states, owing to a number of factors. KFF noted early on in the unwinding process that states such as Pennsylvania had flagged enrollees as “likely ineligible” in order to expedite their de-enrollment following the expiration of the COVID-era protections.

Other states, California included, made attempts to build upon the expansion in coverage seen during COVID through ex parte, or auto-renewal initiatives, which drastically reduced the number of those who lost out on health care for to the “procedural reasons” KFF describes.

As a result, while some 850,000 have lost their public health care since March 2023, this figure is far lower than some previous estimates. Additionally, enrollment in Medicaid and CHIP remains over 1.8 million (16 percent) higher than in February 2020.

What People Are Saying

Ben Anderson, deputy senior director of health policy at Families USA, a health care-focused consumer advocacy group, told KFF Health News in September: “We have seen some amazing coverage expansion in places like Oregon and California. But if you live in Texas, Florida, and Georgia, since the pandemic your health coverage has been disrupted in ways that were preventable by state leaders.”

What Happens Next?

The unwinding process has largely come to an end, according to KFF, though it said some states may still be completing determinations for Medicaid eligibility.

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