In a reversal, Maryland will contract with Kaiser Permanente as a Medicaid managed care organization in 2025.
"We are pleased that we reached an agreement with the State that enables us to continue to serve our members as a HealthChoice managed care organization in 2025," a spokesperson for the Oakland, Calif.-based health system told Becker's on Sept. 25. "We are grateful to the Department's leadership for their ongoing efforts to promote equitable access to healthcare, and we look forward to strengthening our partnership in the years to come."
Five key notes:
1. On Sept. 20, the Maryland Department of Health told local media that it would drop Kaiser as a Medicaid MCO in 2025 after "lengthy contract negotiations."
2. Maryland had also recently temporarily suspended new enrollments in Kaiser's Medicaid plan, citing a failure to meet contractual obligations related to financial operations reporting requirements.
3. Kaiser has held a Medicaid contract in Maryland for more than ten years, and it maintains the highest-rated Medicaid plan in the state, per the NCQA.
4. The state will also renew its other existing managed care contracts, which includes Aetna, CareFirst BCBS, UnitedHealthcare, Elevance Health's Wellpoint, Jai Medical Systems, Maryland Physicians Care, MedStar Family Choice and Priority Partners.
Jai Medical Systems and MedStar Family Choice are independent companies. Maryland Physicians Care is owned by Ascension Saint Agnes, Holy Cross Health, Meritus Health, and UPMC Western Maryland. Priority Partners is owned by Johns Hopkins Health Plans and the Maryland Community Health System.
5. “Kaiser Permanente has cared for Medicaid members in Maryland for more than a decade, including the more than 113,000 Marylanders currently enrolled with us," the spokesperson said. "Our value-based care model focuses on improving patient outcomes, eliminating disparities in care for our members and improving affordability."