Hawaii to debut controversial Medicaid program

Despite opposition from physician and patient groups, Hawaii will kick off a new managed care Medicaid program next month that will cover 39,000 Medicaid beneficiaries, who are aged, blind, and/or disabled. Two insurers, UnitedHealth Group Inc., and WellCare Health Plans Inc., will offer the coverage. They have each recruited more than 1,000 healthcare providers. Some doctors have refused to participate in the program because of lower reimbursements and fears associated with changing from a fee-for-service program.