Federal Exchange Option and Indecision on Medicaid Expansion Create Uncertainty for Richmond, Va., Market

RWJF Reform Community Report
October 2013
Laurie E. Felland, Emily Carrier, Ellyn R. Boukus, Rebecca Gourevitch

Whether Virginia will expand Medicaid, along with development of a federally run insurance exchange, has created uncertainty for Richmond health insurers and providers, according to a new Center for Studying Health System Change (HSC) study of the region’s commercial and Medicaid insurance markets. The state has not yet decided whether to expand Medicaid eligibility, citing long-term cost concerns. In April 2013, Virginia enacted legislation outlining a series of specific reforms intended to control Medicaid costs that must be achieved before the expansion is allowed to proceed. Market observers have predicted that other factors may also contribute to delays and implementation uncertainties, including the tabling of Medicaid expansion decisions until a new gubernatorial administration is in place and delays in information concerning how the federal exchanges will operate in states like Virginia.

The full Richmond report can be downloaded here. (pdf)