Cost Overruns Prompt Changes that Threaten the Future of BadgerCare Basic
The Department of Health Services (DHS) announced Friday that it plans to freeze enrollment and increase premiums for the BadgerCare Basic program. BadgerCare Basic was initiated by DHS in 2010 to be a non-subsidized option for coverage of childless adults on the waiting list for the BadgerCare Core plan.
According to the DHS press release, the program’s costs over the last 8 months have exceeded premiums by more than $1.6 million, and outstanding bills will push that deficit considerably higher, necessitating the actions taken Friday. A WCCF blog post yesterday explains why the changes are likely to be the beginning of the end for this experiment in creating an unsubsidized option for low-income childless adults. It also discusses why the program’s problems underscore the importance of the federal health care reform act.