One of the projected costs of expanding Medicaid is the “woodwork effect.” It refers to people already eligible for Medicaid who come “out of the woodwork” as they learn about the program. But this effect happens even in states such as Kansas that refuse to expand Medicaid, because of all the publicity about the Affordable Care Act. Kansas’ enrollment in Medicaid and the Children’s Health Insurance Program increased to 415,284 in February, up more than 17,000, or 4.3 percent, from monthly averages before the launch of the ACA insurance marketplace. So Kansas’ costs are increasing, but it isn’t receiving the financial benefit of expanding Medicaid.
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