State Medicaid Drug Coverage Policies

The APA’s Office of Healthcare Systems and Financing is conducting a 50-state survey to determine how state Medicaid programs will be approaching the January 1, 2006 transition of their dual eligible beneficiaries (Medicaid beneficiaries who also receive Medicare) from receiving prescription drug coverage under Medicaid to receiving it under Medicare Part D.

While many states are waiting to find out which prescription drug plans will be serving the dual eligible population and the specifics of these plans’ formularies (information that should become available in October 2005), it is clear that the states are very aware of the problems that may arise with the change in dual eligibles coverage.

The survey consists of three questions concerning 1) refill policy for medications prior to January 1, 2006; 2) state coverage for drugs that are excluded from Part D, specifically benzodiazepines; and 3) whether there will be assistance to help dual eligibles pay for drug co-pays that are required under Medicare.

Initial survey results suggest that although CMS recommended that state Medicaid programs provide dual eligibles with refills to tide them through the transition period, most states will be continuing with their current refill policies (i.e., if the standard refill period is for 30 days, only 30-days-worth of drugs will be provided; and if the patient is not entitled to a refill until after January 1, 2006, no refill will be supplied at all). On the issue of non-covered drugs, if the Medicaid program provides drugs that are excluded from Part D to its non-dual eligible Medicaid beneficiaries, it will continue to provide these drugs to dual eligible beneficiaries as well. Since all states currently cover benzodiazepines and there is no indication that this will change, that mean dual eligibles will continue to receive their benzodiazepines through Medicaid. On the issue of co-pays, it appears that Medicaid programs will probably not be able to cover these costs and are hoping help may be available from private organizations in their states.

Dual Eligible States

Click the links below to see details on the individual state plans:

States: A-F | G-M | N-S | T-W

State Refill policy/
transition plans
Will Medicaid continue to cover drugs excluded in Part-D? (i.e.: benzodiazepines, barbiturates) Will Medicaid pick up Part-D co-pays and wraparound?
-A-
Alabama Maintaining current policy; AL has early refill policy (75% used) Yes; no change in current coverage Beneficiary responsibility; no wraparound
Alaska Maintaining current policy (dispense 30 day supply); AK has early refill policy (75% used; 95% for opiods) Yes; no change in current coverage Beneficiary responsibility, already subject to copays; no wraparound. 
Arizona Maintaining current policy (dispense 30 day supply); state is not routinely providing 90 day supply (acute care population) Yes; no change in current coverage Beneficiary responsibility; no wraparound.
Arkansas Maintaining current policy (dispense 30 day supply); Yes; no change in current coverage Beneficiary responsibility; no wraparound.
-C-
California [as of 9/13/05] Maintaining current policy (dispense 30 day supply); Yes Beneficiary responsibility
Colorado Maintaining current policy (dispense 30 day supply for nonmaintenance, 100 day for maintenance; refill too soon edit of 75%, 3 mos rolling Yes; possible change to a noncovered event 1/1/06, pending funding Beneficiary responsibility, already subject to copays ($1/$3); no wraparound
Connecticut Maintaining current policy (dispense 30 days/240 units whichever is larger; PA for controlled substances) Yes; no change in current coverage.  CT does not require copays for Medicaid beneficiaries, therefore there will be no dual eligible co-pay for this category New:  Beneficiary responsibility ($1/$3 or $2/$5).  Question of copays will be revisited prior to December.
-D-
Delaware Maintaining current policy (dispense 30/31 day supply); doesn’t permit early refills Yes; no change in current coverage.  State will monitor PDPs Beneficiary responsibility
District of Columbia Maintaining current policy (dispense 30 day supply, every 28 days; no provision for early refills unless therapeutic change) Yes; no change in current coverage Beneficiary responsibility, already subject to copays ($1/$3); no wraparound
-F-
Florida Maintaining current policy Yes; no change in current coverage Beneficiary responsibility; no wraparound

States: A-F | G-M | N-S | T-W

State Refill policy/
transition plans
Will Medicaid continue to cover drugs excluded in Part-D? (i.e.: benzodiazepines, barbiturates) Will Medicaid pick up Part-D co-pays and wraparound?
-G-
Georgia Maintaining current coverage (dispense 30 day supply; refill too soon edit 75%) Yes, currently cover certain excluded drugs; will be modifying current benefits. Beneficiary responsibility, already subject to tiered copays; limited wraparound for select drugs excluded under Medicare part D
-I-
Idaho Maintaining current coverage (dispense 34 day supply; refill too soon edit 75% on most medications, 100% for triptans Yes; no change in current coverage Beneficiary responsibility; no wraparound
Illinois Maintaining current coverage (dispense 30 day supply; refill too soon edit 75%)   Beneficiary responsibility, Medicaid beneficiaries already subject to copays ($0/$3); no wraparound.
-L-
Louisiana

Maintaining current coverage (dispense 30 day supply or 100 unit doses, whichever is greater; monthly limit of 8; can be overridden)

Yes; no change in current coverage

Beneficiary responsibility already subject to copays ($.50, $1, $2, $3); no wraparound.

-K-
Kansas Maintaining current coverage (dispense 31 day supply, state regulation) Yes; no change in current coverage Beneficiary responsibility; no wraparound
-M-
Maryland Maintaining current coverage (dispense 30 day supply; standard early refill policy) Yes; no change in current coverage Beneficiary responsibility, already subject to copays ($1/$3); no wraparound. 
Massachusetts Limit most drugs to 30 day supply; MA may be in process of revising regulation for rarely used 90 day refill to 30 day refill Yes; no change in current coverage Beneficiary responsibility, already subject to copays ($1/$3, $2/$5); no wraparound
Michigan Maintaining current policy Yes; no change in current coverage Beneficiary responsibility; no wraparound
Missouri Maintaining current policy; AL has early refill policy (75% used) In all probability there will be no change in coverage; depends on PDP formulary (info as of 9/13/05) Unknown as of 9/13/05
Montana Maintaining current coverage (dispense 30 day supply) Yes; no change in current coverage Beneficiary responsibility, already subject to copays ;no wraparound

States: A-F | G-M | N-S | T-W

State Refill policy/
transition plans
Will Medicaid continue to cover drugs excluded in Part-D? (i.e.: benzodiazepines, barbiturates) Will Medicaid pick up Part-D co-pays and wraparound?
-N-
New Jersey Maintaining current coverage (dispense 34 day supply or 100 units; refill too soon edit of 85%) Yes; no change in current coverage Under Medicare Part D NJ will cover copays for all full dual eligible beneficiaries for all drugs; in addition, wraparound to include payment for some non formulary drugs, provision of emergency drug supply [policy evolving; accurate as of 10/17/05]
New Mexico Maintaining current coverage (dispense 34 day supply for non maintenance drugs/90 day for maintenance drugs; refill too soon edit of 75%) Yes; no change in current coverage Beneficiary responsibility, already subject to copays ($1/$3); will be limited wraparound
New York Maintaining current coverage Yes; no change in current coverage Beneficiary responsibility, already subject to copays ($1/$3); will be limited wraparound
Nevada Maintaining current coverage (dispense 34 day supply; refill too soon edit) Yes; no change in current coverage Under Medicare Part D NV will cover copays for all full dual eligible beneficiaries for all drugs
North Carolina

Maintaining current coverage (dispense 90 day supply)

Yes; no change in current coverage Beneficiary responsibility; no wraparound
North Dakota Maintaining current coverage (dispense 34 day supply) Yes; no change in current coverage Beneficiary responsibility, already subject to co-pay ($3 for brand); no wraparound
-O-
Ohio Maintaining current coverage (dispense 34 day supply for acute, 102 day supply for chronic); refill too soon edit of 75% Yes, no change in current coverage for benzodiazepines & barbiturates; change 1/1/06 to limited OTCs New: As of 1/1/06 $2 copay on trade name drugs Beneficiary responsibility, already subject to $3 copay on drugs requiring prior authorization.
Oregon Maintain current policy; early refill if 75% used on 90-day supply Yes; no change in current coverage (no mandatory copay for Excluded Drugs) Beneficiary responsibility; no wraparound
-P-
Puerto Rico, Commonwealth of Maintaining current policy (comprehensive formulary; 30 day supply maintenance drugs, 15 day supply for acute; refill too soon edit of 75%) Yes, no change in current coverage. No copays for drugs included or excluded under Part-D Duals will not be subject to copays under Part-D. Wraparound only for those who disenroll from the existing Commonwealth health plan and enroll in an MA/Medicare Platinum plan
-S-
South Carolina Maintaining current coverage [dispense 34 day supply; early refill policy (80% used)] (limit to # of Rx/mo; behavioral health drugs override) Yes; no change in current coverage Beneficiary responsibility, already subject to $3 copay, will now be $1-$3, $2-$5 depending on income; no wraparound
South Dakota Maintaining current coverage (dispense 34 day supply; early refill policy (70% used), pharmacist can override early refill) Yes; no change in current coverage Beneficiary responsibility, already subject to copay ($0/$3); no wraparound

States: A-F | G-M | N-S | T-W

State Refill policy/
transition plans
Will Medicaid continue to cover drugs excluded in Part-D? (i.e.: benzodiazepines, barbiturates) Will Medicaid pick up Part-D co-pays and wraparound?
-T-
Tennessee Maintaining current coverage (dispense 31 day supply; early refills not permitted) NEW:  Currently provide, change to non covered event 1/1/06 Beneficiary responsibility, already subject to copay; no wraparound
Texas Maintaining current policy Yes; no change in current coverage Beneficiary responsibility; no wraparound
-U-
Utah Maintaining current policy (dispense 30 day supply) Yes; no change in current coverage for full duals Beneficiary responsibility (to maximum out of pocket); no wraparound
-V-
Vermont Refills must not exceed 5 (plus one original); for DEA code 2, no refills allowed, new prescription required for each; no early refill policy Yes; no change in current coverage Beneficiary responsibility, already subject to copay ($1/$3
Virginia Maintaining current policy (dispense 34 day supply) Yes; no change in current coverage Beneficiary responsibility
-W-
Washington Maintaining current policy (dispense 30 day supply; early refill policy (75% used) Yes; no change in current coverage Beneficiary responsibility ($1-$5); state refers out if they know there’s a program that will help
Wisconsin Maintaining current policy (dispense 34 day supply); early refill policy Yes; no change in current coverage Beneficiary responsibility
Wyoming Maintaining current policy (dispense 34 day supply for non maintenance drugs/90 day for maintenance drugs; refill too soon edit of 80%) Yes; no change in current coverage Beneficiary responsibility, already subject to tiered copay ($1/$2/$3); no wraparound

States: A-F | G-M | N-S | T-W

Current as of 11-4-2005

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