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Congressman Chris Collins

Representing the 27th District of New York

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More Obamacare Fallout: 53 Thousand Have Current Medicaid Coverage Cancelled

Jul 18, 2014
Press Release

WASHINGTON, DC- Congressman Chris Collins (NY-27) today released the following statement following BlueCross BlueShield’s (BCBS) announcement they would be terminating Medicaid coverage for 53,000 Western New York participants.

“The tangible negative effects of Obamacare are now directly impacting individuals and their families,” said Congressman Collins. “Last week we learned of the upcoming rate hikes for individual’s premiums and now it is clear that fifty three thousand Western New Yorkers will be removed from BlueCross BlueShield’s Medicaid coverage.”

“BCBS has lost money by providing Medicaid coverage for the last three years, but was able to absorb those costs with other aspects of its business model. With Obamacare’s massive expansion of Medicaid, the financial impact for companies like BCBS has become unsustainable. I fear  BCBS is the first of a number of insurers who, due to Obamacare’s Medicaid expansion, will no longer be able to financially support their Medicaid programs.”

BlueCross BlueShield will be withdrawing from their Medicaid programs in six Western New York counties (Erie, Cattaraugus, Chautauqua, Orleans, Wyoming and Allegany) effective October 31, 2014. The decision will impact 53,000 members. The company cited losses in excess of $40 million over the past three years as the reason for their decision to end their Medicaid coverage.