LINCOLN- This afternoon, Nebraska officials announced the selection of three new health plans to manage the state's $1.8 billion Medicaid Program.

The three health plans include Molina Healthcare of Nebraska, Nebraska Total Care, and UnitedHealth Care of the Midlands. Nebraska Total Care and UnitedHealth Care have current contracts with the state, but will now take on Medicaid. Molina HealthCare is newer to Nebraska, but has worked with Medicaid, Medicare, and Affordable Care Act plans in several states.

Dannette Smith, CEO of the Nebraska Department of Health and Human Services was happy to share the news. "We're excited to work with these three health plans to ensure Medicaid members in Nebraska continue to receive the health care that they need," said Smith.

The three companies will sign contracts with the DHHS, allowing them to manage physical and behavioral health care, pharmacy services, and dental benefits for almost all Medicaid patients in the state. Altogether, the three companies will serve around 347,000 Nebraskans.

The winning bidders were selected from five applicants, and the two companies that lost the bid were Community Care Plan of Nebraska and Medica Community Health Plan. The losers of the bid have the ability to appeal the state's decision, but we've yet to see any such action taken.

Kevin Bagley, State Medicaid Director, was "extremely pleased" with all five bidders, but the decision came down to a few factors, including dental services within health plans, voluntary care and case management, and the standardization of certain requirements for providers.

The new contracts are set to begin on Jan. 1, 2024, which is six months later than previously planned. Bagley stated that between now and then, the DHHS will work very closely with the three chosen companies to make the transition as smooth as possible.

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