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flag Kansas audit finds widespread Medicaid claim denials, costing hospitals hundreds of millions, prompting calls for oversight reform.

flag The Kansas inspector general’s first audit under expanded authority revealed widespread issues in the state’s Medicaid program, KanCare, including frequent denials of hospital claims within 30 days of initial visits—even when unrelated—costing hospitals hundreds of millions annually. flag One managed care organization denied $1.8 billion in claims, 70% hospital-related, with higher-value claims disproportionately rejected. flag Concerns arose over UnitedHealthcare’s use of a proprietary system owned by its subsidiary, raising potential conflicts of interest, though state officials said the practice is standard and compliant. flag The department agreed with most recommendations but warned restricting one organization’s tools could create imbalance. flag The audit marks the beginning of broader oversight to improve accountability in Kansas’ social welfare programs.

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