California will soon restart its annual eligibility review for people enrolled in Medi-Cal, a process that has been suspended since the onset of the COVID-19 pandemic.
This means that starting in mid-April, residents enrolled in Medi-Cal, the state’s insurance program for low-income people, will start to receive renewal notices in the mail. The process will be spread over 14 months. Some people may be automatically re-enrolled, but most people will have to fill out a renewal packet with information about their income and household size. People who no longer qualify or who fail to fill out the paperwork will lose their free or low-cost coverage.
State officials estimate that between 2 million and 3 million people could lose their Medi-Cal coverage. Ideally, people who no longer qualify for Medi-Cal will transition to a plan in the state’s insurance marketplace, Covered California, or to a job-sponsored health plan. Still, health advocates worry that many people could fall through the cracks or get caught in administrative hurdles and become uninsured, leaving them more likely to delay or forgo care altogether.
Currently, 15.4 million people — more than a third of the state’s population — are enrolled in Medi-Cal, the most ever, according to the California Department of Health Care Services. That’s partly a result of the increased need during the pandemic: As people lost jobs and wages, many also lost their medical insurance. From March 2020 to February 2023, Medi-Cal enrollment increased 16%, according to the department.
And as thousands of people became newly eligible for Medi-Cal, far fewer were coming off. Federal rules prohibited states from dropping people from government-sponsored insurance during the pandemic as a way to protect access to care. Now those federal rules are lapsing.
California’s renewal process will restart on April 1 and should be completed around June 2024, meaning people can receive their renewal notices and paperwork anytime during this time period. Those who in the past have renewed in the month of June will get their paperwork first, said Yingjia Huang, assistant deputy director for health care benefits and eligibility at the Department of Health Care Services.
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