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Federal Policy·June 5, 2026
GOP Budget Law Cuts Threaten Coverage for Nearly 2 Million Children
The 2025 GOP budget law includes significant cuts to healthcare programs that are expected to result in higher premiums and changes to Medicaid eligibility rules. An estimated 2 million children could lose health insurance coverage as a result of these cuts. The changes are creating uncertainty around Medicaid coverage determinations and affordability challenges for families. The law represents a major shift in federal healthcare policy affecting both Medicaid and marketplace coverage.
Why it matters for managed care
Medicaid managed care organizations will face enrollment declines, changes to member mix, and operational adjustments as eligibility rules tighten and children lose coverage under the new federal budget law.
Managed Care · CHIP · Finance
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