Expanding Medicaid and CHIP Coverage for Substance Use Disorder Treatment.
This law allows states to expand Medicaid and CHIP coverage to include treatment for individuals with substance use disorders (SUD) in specialized mental health institutions. This change ensures that eligible individuals under 65 can access intensive, medically necessary residential care for addiction that might previously have been excluded from coverage. States adopting this expansion will receive a temporary increase in federal funding for the first five years.
Key points
States gain a new option to use Medicaid/CHIP funds to cover addiction treatment in mental health facilities (IMDs) for individuals under 65.
Coverage is limited to the period of medical necessity, determined by evidence-based criteria and reviewed at least every 30 days.
The federal government will cover 90% of the costs for these services during the first five years to encourage state participation.
Expired
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