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Trump's spending bill will likely boost costs for insurers, shrink Medicaid coverage

UNITED STATES, JUL 14 – The bill imposes work verification for Medicaid recipients and could leave 7.8 million people uninsured by 2034, while extending federal logging contracts to 20 years, affecting competition.

  • Earlier this month, President Donald Trump’s bill was projected to raise administrative costs for insurers like UnitedHealthcare and CVS Health’s Aetna, experts said.
  • The provision requires low-income adults in expansion states to prove work status every six months, and five industry experts said state Medicaid departments will struggle to implement verification protocols, creating operational challenges amid broader policy changes.
  • According to the Congressional Budget Office, 7.8 million people could be left uninsured by 2034, while mass disenrollment may begin in 2027.
  • Early impacts are already visible as UCare cut off 88,000 patients, affecting health programs and medical centers in Minnesota.
  • In the future, states must redetermine Medicaid eligibility every six months by December 31, 2026, and enforce work requirements by January 1, 2027, experts said.
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LoudounTimes.com broke the news in on Sunday, July 13, 2025.
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