Oppose FSSA Using Profit-Driven Corporations To Run Medicaid
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I am alarmed that FSSA has replaced CICOA with Maximus, Inc., to make Medicaid eligibility determinations.
CICOA is an Indiana not-for-profit that has served Hoosiers since 1974. Maximus is a $5 billion public transnational corporation that serves investors.
Oppose Maximus's troubling role in determining Medicaid eligibility in our state. Maximus's track record is horrible and it has a history of hurting vulnerable Americans accessing essential healthcare.
Maximus, as the largest contractor for Medicaid eligibility determinations, has a documented history of wrongly kicking millions of low-income Americans off their Medicaid coverage, even when they meet all eligibility requirements.
This profit motive is explicitly linked to policies like the proposed "work requirements" – which are essentially burdensome red tape – that Maximus actively lobbies for and stands to gain significantly from implementing.
The company's performance record is abysmal, marked by egregious backlogs and service delays, numerous reports of fraud, and massive data breaches of sensitive personal health information and Social Security numbers. These failures have led to contract cancellations, multi-million dollar settlements, and various lawsuits.
The company's own proposals for state Medicaid contracts indicate a strong financial incentive to remove more people from Medicaid if it administers "work requirements".
Maximus's business model benefits when vulnerable Americans face more bureaucratic hurdles. The company has spent millions on lobbying and campaign contributions to advocate for stricter eligibility requirements for programs like Medicaid. Its stock price has climbed in response to legislation proposing such red tape, and its CEO's compensation has directly increased from meeting incentive targets tied to disenrolling individuals from Medicaid and other safety net programs. Disturbingly, Maximus even noted that it manages state-based exchanges where individuals can enroll if they are no longer Medicaid-eligible, allowing for multiple opportunities to profit as Americans struggle to maintain health insurance.
Given this alarming track record and the inherent conflict of interest that arises when a company profits from disenrollment, and potentially even from administering appeals for those disenrollments, I urge you to review and reconsider any current or proposed state contracts with Maximus for Medicaid eligibility determinations. Advocate for state-level policies that prioritize access to healthcare over corporate profit. Ensure that Medicaid eligibility processes are transparent, efficient, and designed to protect, not strip away, coverage for eligible individuals.
Please stand with your constituents and protect access to crucial healthcare.