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AMERIGROUP CORP. Virginia Beach, Virginia; Change In Legislation Gets Thumbs Up Here.(THE NEW AMERICA)
Byline: MARILYN ALVA
When Congress recently passed the tax relief package, Amerigroup Corp. rolled out press releases applauding the move.
The company was happy about one part of the package in particular: the extra $10 billion set aside to bolster state Medicaid programs.
Like many officials, Amerigroup execs are concerned about the fiscal pressures weighing on states. Budget constraints could harm state Medicaid programs, which are meant to provide health insurance to those living at or below the federal poverty level.
Those restraints also could harm Amerigroup, a managed-care firm that specializes in Medicaid health insurance, including disease management and outreach.
With the additional $10 billion in short-term federal matching funds, states and managed-care providers can rest a little easier -- at least for now.
"In Florida you're talking about a combined $944 million of new money over the next 15 months," said Amerigroup Chief Executive Jeffrey McWaters.
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