A reported "systems glitch" is the reason why children in several states are being wrongfully cut off from Medicaid coverage.
The Centers for Medicare & Medicaid Services (CMS) sent a letter dated Aug. 30 to Medicaid directors in all 50 states, the District of Columbia, Puerto Rico, and the U.S. Virgin Islands requiring them to determine whether they have an eligibility systems issue that could cause individuals, especially children, to be disenrolled from Medicaid or the Children's Health Insurance Program (CHIP) — even if they are still eligible for coverage. The letter also requires directors to immediately correct the problem and reinstate coverage.
"CMS has learned of additional systems and operational issues affecting multiple states, which may be resulting in eligible individuals being improperly disenrolled," the letter states. "These actions violate federal renewal requirements and must be addressed immediately."
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