Elevance Health is expecting many members who have lost Medicaid to transition to other forms of coverage, executives told investors on a second-quarter earnings call.
According to the company's second-quarter earnings report, Elevance Health lost 135,000 Medicaid members in the three months preceding June 30.
On a July 19 call with investors, Elevance Health CEO Gail Boudreaux said the company expects many members who have lost Medicaid for procedural reasons to re-enroll in the program over time, and those who are no longer eligible are switching to other forms of coverage.
"Transitions of coverage are not typically immediate. But emerging data points suggest consumers losing Medicaid are starting to transition onto ACA exchange plans. It's still early in the process and our expectations for coverage transitions remain unchanged," Ms. Boudreaux said.
Elevance Health CFO John Gallina told investors the company expects 40 to 45 percent of the new members it gained during the COVID-19 pandemic to stay enrolled in the program.
The company has developed an online tool, My Health Benefit Finder, that can help members determine if they are likely to still be eligible for Medicaid.
The tool has been used by members in all 50 states, and 48 percent of users found they are likely to no longer be eligible for Medicaid, according to data shared with Becker's. These members are then directed to explore individual and family plans.
As of July 19, at least 3 million people have been disenrolled from Medicaid, according to KFF. Of those disenrolled, 74 percent were due to procedural reasons, rather than being determined ineligible for the program.
Ms. Boudreaux told investors the company is working with state partners to ensure members understand the options available to them.
"We're seeing a lot of really good uptake and we're actually contacting, having great success rates in contacting individuals where we have the information. So those are very encouraging early signs to us," she said.