My Care Ohio: A Triumph of the Stick over the Carrot

Warning:  This week’s post is a rant about Ohio Medicaid policies and policymakers.  (For my background description of the My Care Ohio program, see last week’s post “Managed care for Ohio Medicare/Medicaid ‘Dual Eligibles.’“)  Feel free to tell me that I’m wrong or to ignore me until next week.

Gov. Kasich has, from the beginning, targeted the long term care Medicaid costs in the state budget.  Any sane governor would look for ways to reduce that cost because it is often the largest single line item in the state budget.

When he first took office, Gov. Kasich proposed having more people receive their long term care at home (presumably through the PASSPORT program.)  Now, however, his administration has launched My Care Ohio, a managed care program for the state’s “dual eligible” population (i.e., people on both Medicare and Medicaid.)

My Care Ohio will provide care coordinators to all covered people.  The care coordinators’ job is to make sure that all involved caregivers and providers that stand under the managed care umbrella are on the same page.  That’s great!  Excuse me, though, if I have misgivings that the care coordinators unspoken instructions will conflict with this promising description.

The care coordinators work for the managed care organizations.  The managed care organizations are insurance companies.  These managed care companies will be paid a flat rate for each of their insureds in the program.  Insurance companies make money by paying out less in claims than they receive in premiums.  So, I cannot help but believe the care coordinators main job will be to cut costs.  Now, I’m not necessarily against cutting costs, but the managed care model tends to cut costs by squeezing (or squeezing out) the care providers.  This is the “stick,” and I fear a decline in the quality of care over time.  I resent the use of this stick when the governor talked up the carrot in the past.

The carrot would have been (and maybe still can be, but only after the My Care Ohio 3-year pilot program runs its course) changing Medicaid rules a little bit to create a greater incentive for people to choose to stay in their homes on Passport rather than move into nursing homes.

Currently, it’s tricky and unpredictable when applying for Passport, especially when there’s a married couple.  The standard on what the well spouse (the spouse not seeking Medicaid coverage) can keep while the spouse needing care can qualify for Passport should also be used for a spouse seeking nursing home Medicaid.  (These standards set how poor a married couple must be to qualify for Medicaid.)   Unfortunately, these standards are not the same between nursing home Medicaid and Passport (at least, they aren’t implemented in the same way during the application process.)  It is financially more advantageous to go into a nursing home, the highest cost place to receive long term care.

If the “how poor is poor enough” question were answered the same way for Passport as for nursing home coverage, more people would choose to stay at home.  The “carrot” would be the same financial eligibility standards.

Well, Gov. Kasich abandoned the carrot.  He’s picked up the stick, and I expect him to use the stick to force provider payments lower.

My Care Ohio is being touted as giving “dual eligible” people more choice.  Except for the choice between cost-cutting insurance company A and cost-cutting insurance company B, I don’t see many choices in the My Care Ohio program.  A real and valuable choice could have been whether to get long term care at home, in an assisted living facility, or in a nursing home.  That is a choice that would mean something to seniors and their families.

I wish the Ohio Department of Medicaid had chosen the carrot of evening the Medicaid eligibility playing field so that the choice to stay home (where Medicaid’s costs are much lower) would be as financially advantageous as moving into a nursing home.

For more information visit www.ProtectingSeniors.com

Jim Koewler’s mission is
Protecting a Senior’s Life Savings™
from the costs of long term care

For help with long term care costs, call Jim
or contact him through his website.

© 2014 The Koewler Law Firm.  All rights reserved.

 

 

Managed care for Ohio Medicare/Medicaid “Dual Eligibles”

Ohio will soon launch My Care Ohio, a 3-year pilot program instituting managed care for people who have health care coverage through both Medicare and Medicaid, the so-called “dual eligible” people.  The pilot program focuses on the state’s population centers.  (Several other states are implementing similar programs.)

Who’s in?  People on both Medicare and Medicaid who are
in nursing homes;
on the Passport waiver;
on the Choices waiver;
on the Assisted Living waiver;
on the Ohio Home Care waiver; or
on the Transitions Carve Out waiver.

Who’s out?
People with ICF-MR level of care served in an ICF/IID facility;
People on a waiver from Department of Developmental Disabilities;
People on monthly spend-down that isn’t met every month; and
People on third-party health insurance (usually through a retirement plan.)

People on a Medicaid “Period of Restricted Coverage” (i.e., they gave away assets so Medicaid won’t cover all of their costs) will be IN the managed care program for the costs that Medicaid will cover during that restricted period.  After the Period of Restricted Coverage ends (assuming that the managed care program is still going,) these people will be on the managed care program for their full Medicaid coverage.  (This news arrived in an email from the Ohio Department of Medicaid the afternoon after the original version of this post was published.)

The following counties (sorted by district) are included:

Northeast district
Cuyahoga, Geauga, Lake, Lorain, and Medina counties
Buckeye, CareSource and United are available Managed Care Organizations (MCOs)
Enrollment starts May 2014

Northeast Central district
Columbiana, Mahoning, and Trumbull counties
CareSource and United are available MCOs
Enrollment starts June 2014

Northwest district
Fulton, Lucas, Ottowa, and Wood counties
Aetna and Buckeye are available  MCOs
Enrollment starts June 2014

Southwest district
Butler, Clermont, Clinton, Hamilton, and Warren counties
Aetna and Molina are available MCOs
Enrollment starts June 2014

Central district
Delaware, Franklin, Madison, Pickaway and Union counties
Aetna and Molina are available MCOs
Enrollment starts July 2014

East Central district
Portage, Stark, Summit, and Wayne counties
CareSource and United are available MCOs
Enrollment starts July 2014

West Central district
Clark, Green, and Montgomery counties
Buckeye and Molina are available MCOs
Enrollment starts Juny 2014

The Ohio Department of Medicaid expects 100,000 people to be in the program, with 37,000 of them on one of the waivers.

People on both Medicare and Medicaid in the regions listed above will receive a “friendly letter” approximately 60 days before their district’s enrollment start.  That first letter will allow them 30 days to choose an MCO.  (Making a choice of plans is called “active enrollment.”)  The person can actively enroll in an MCO for both Medicare and Medicaid or can enroll in an MCO for Medicaid only.  (Those that enroll in both have the ability to switch plans monthly.)

For people who do not choose a plan in the 30 days after the friendly letter, a second letter will come explaining that the person has been assigned to one of the plans in his or her district.  (This is called “passive enrollment.”)  According to the Department of Medicaid, the assignment of an MCO via passive enrollment will be performed by a complicated algorithm that considers past usage of medical providers.  Even after this passive enrollment, a person can change plans in the first 90 days after the start date.  During 2014, passive enrollment will be used only for Medicaid. (During the enrollment period for 2015, passive enrollment will be used for both Medicare and Medicaid.)

For a limited period of time during the transition to managed care, people will keep their same services at the same rates.  The period of time during which no change will occur varies among the different services, especially waiver services.

After this transition period, MCOs may drop providers.  This is the big point that will impact the covered people.  When a trusted provider is no longer available, people’s care and their confidence in their care will be impacted.

Editorial note:  I realize this is about as readable as the stock listings.  Sorry.  My Care Ohio is a potential sea change in how long term care is administered, so I wanted to lay out my understanding of the program.  I hope to offer more analysis in the future.

Second editorial note:  I changed this post slightly a day after it was originally published.  I wanted to get this information posted at my usual Friday morning time, but my midnight proofreading wasn’t very good.  I did my proofreading when I had the chance.  Sorry.

For more information visit www.ProtectingSeniors.com

Jim Koewler’s mission is
Protecting a Senior’s Life Savings™
from the costs of long term care

For help with long term care costs, call Jim
or contact him through his website.

© 2014 The Koewler Law Firm.  All rights reserved.

Looking Out for our Elderly Loved Ones

In honor of Valentine’s Day, and as a counterpoint to my last two posts discussing difficult families (Family is the Other F Word and When did Fredo Die?) I must admit that I’ve been lucky.  Most of my clients’ families seem to be looking out for their elderly loved ones (i.e., my clients.)

I have an advantage on that score.  I can choose my clients.  More accurately, I can walk away from any family that gives me a “bad feeling” about their real intentions.  I do have a few clients whose families make me regret taking them on.  The vast majority of my clients, though, really seem to be focused on the elderly family member’s best interests.

That’s gratifying.  It makes me feel good about what I’ve chosen to do for a living.  I feel like part of a team pulling together to help the elderly senior.  The team obviously includes the other family members, but it also includes the professional caregivers and social workers.  While we haven’t been able to reverse the effects of age and illness, we have been able to help the senior find comfort, companionship, entertainment, and joy through the involvement of the caregivers, therapists, activities coordinators, doctors, nurses, and especially the family.  It’s great to see family visits.

At the same time, it is difficult to see the hurt that the family members sometimes feel.  I met with a client and her granddaughter recently.  The granddaughter brought along her own sons (my client’s great-grandsons.)  The oldest boy, who was probably the only one able to remember Great-Grandma before her Alzheimer’s) cried when he saw how difficult it was for Great-Grandma to listen and to speak and to understand.  It was gratifying to see that a young man cared enough to feel sad for his Great-Grandma, but it was difficult to realize that it was sadness that he had to feel rather than joy.  Great-Grandma just isn’t going to return to being the person he remembers, and his realization of that unfortunate truth really hurt him.

I am grateful for my families who, despite the difficulties and the emotional pain, involve themselves with their elderly loved ones.  For this Valentine’s Day (and, I suppose, every day,) I hope that every long term care patient is also someone’s loved one.

 

For more information visit www.ProtectingSeniors.com

Jim Koewler’s mission is
Protecting a Senior’s Life Savings™
from the costs of long term care

For help with long term care costs, call Jim
or contact him through his website.

© 2014 The Koewler Law Firm.  All rights reserved.

 

When did Fredo die?

This is a follow-up to my post last week (January 31, 2014,) “Family is the other F word.”

Fans of The Godfather movies will recognize my reference to the tense relationship between brothers Fredo and Michael Corleone.  (I use a movie reference because I can’t very well talk about my clients this way, can I?  Even if I could talk about my clients, I sure couldn’t use names.) 

When I make a presentation about how family strife makes long term care (as well as probate and estate planning work) difficult, I try to give an example that people will recognize.  So, I ask, “When did Fredo die?”

For those of you who are not fans of The Godfather movies, Fredo is the oldest son of crime boss Vito Corleone.  Fredo, because of a childhood illness, has never been the sharpest knife in the drawer, so, despite his primogeniture (status as first born son – like the way the monarch of England is chosen,) Fredo does not become the new head of the family when Vito retires.  Instead, Vito chooses his younger son, Michael, to become the head of the family.  (Middle son Santino (“Sonny”) has been killed by this time.)

Fredo felt slighted, and continues to feel slighted, because he was passed over.  He resents Michael’s power, so, in The Godfather Part II, he conspires with another crime family to try to assassinate Michael.  Michael eventually figures out Fredo’s involvement in the assassination attempt, but promises not to do anything to Fredo while their Mama is still alive.

As you’ve probably figured out by now, after Mama dies, Michael has Fredo killed.

When Mama is no longer a reason to “keep the peace,” the family dispute come to the surface.

Yes, I realize that The Godfather is fiction and that it’s a crime movie.  But, only the extreme violence of the disputes is different than in real life.  All too often, family disputes come out when the parents can no longer keep the peace.  When the parent and child roles become reversed, the difficulties of becoming caregiver to parents and the disagreements about how best to provide care often make other (sometimes decades old) hurt feelings erupt to the surface.

Suppose for a moment that Mama didn’t die but suffered from Alzheimer’s disease.  Do you think Fredo would have lived?

How does your family, and how do your neighbors’ families, handle stress?

For more information visit www.ProtectingSeniors.com

Jim Koewler’s mission is
Protecting a Senior’s Life Savings™
from the costs of long term care

For help with long term care costs, call Jim
or contact him through his website.

© 2014 The Koewler Law Firm.  All rights reserved.