Indiana's Medicaid Decline Previews 2025 Law Impact for Other States

A year after implementing federal Medicaid work requirements, Indiana saw its Medicaid enrollment drop 8%. The state lost 175,000 enrollees, over twice the number the state had predicted would exit the program. This drop provides a concrete preview of the impact other states may experience as the 2025 Reconciliation Law's work requirements roll out nationally. The data shows the policy's primary effect is to reduce coverage rather than increase employment, shifting patients to uninsured status. Monitor state-specific 1115 waiver applications and early enrollment reports from states like Idaho for how this will affect practice payer mix and uncompensated care.