Medicaid underpays psychiatrists in these states — by a lot

Medicaid reimbursement rates are set by individual states, and they vary wildly between states. Pennsylvania’s Medicaid rates are the worst in the nation, at less than one-third of the equivalent Medicare rate and less than half of the national average.

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On the other end of the spectrum, Nebraska reimburses for Medicaid at rates more than five times higher than Pennsylvania, according to a Health Affairs study published April 3.

Ten states with the lowest Medicaid reimbursement rates, as a percentage of Medicare rates for the same procedures:

1. Pennsylvania: 32 percent

2. Rhode Island: 47 percent

3. Maine: 49 percent

4. Illinois: 54 percent

5. Louisiana: 57 percent

6. Ohio: 57 percent

7. Michigan: 58 percent

8. New Hampshire: 59 percent

9. California: 61 percent

10. Kentucky: 62 percent

Ten states with the lowest Medicaid reimbursement rates, as a percentage of a weighted national average for Medicaid reimbursement for the same procedures:

1. Pennsylvania: 46 percent

2. Rhode Island: 67 percent

3. Maine: 70 percent

4. Illinois: 76 percent

5. Louisiana: 78 percent

6. Ohio: 78 percent

7. New Hampshire: 79 percent

8. Michigan: 80 percent

9. California: 88 percent

10. Alabama: 89 percent

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