State Signs Medical Care Contracts for Those in Need

The Department of Human Services (DHS) is pleased to announce contract negotiations have been completed and contracts signed for State Fiscal Year 2019 (SFY19). Amerigroup of Iowa and UnitedHealthcare Plan of the River Valley will continue to provide services to Iowans most in need. Most importantly the new contracts feature significant improvements to guarantee appropriate oversight of the program.

The new contract provides additional oversight by focusing performance measures on long-term services and supports (LTSS), on health outcomes and timeliness of claims reprocessing. The new contracts also address the recently signed mental health legislation, and add new requirements to improve our members’ experience. For example, members will now be able to seek a second medical opinion outside their Managed Care Organization’s (MCO’s) network, at no cost to the member, and continuity of care provisions have been strengthened.

Under the new contracts, the State will be increasing Medicaid funding by 7.5%. These rates, which are based upon the analysis of a new independent actuary, make sure that that the program is properly funded and that the focus will be on managing patients’ care and improving health outcomes. At the same time, the program continues to be sustainable for the long term.

“Once again the IA Health Link managed care program has allowed us to continue bending the cost curve down. Compared to national trends, and previous trends for healthcare in the state of Iowa, this is a manageable increase that will allow us to continue providing vital services to Iowans,” said Medicaid Director Michael Randol.

Director Jerry Foxhoven says “The new contract makes it clear, we are committed to providing strong oversight on behalf of the 680,000 Iowans we serve.” For more details on the changes included in Amendment 7,