States Eye Private Insurance for Medicaid Expansion Enrollees

That twist is keeping alive the possibility of broadening Medicaid coverage in states where conservative legislators are bucking their governors' acceptance of the optional -- and controversial -- Affordable Care Act provision.

Republican governors in at least eight states have agreed to Medicaid expansion, which would extend coverage to all adults with income below 138% of the poverty line. It's part of the Obama administration's push for universal insurance, and the federal government is dangling a big carrot to make it happen. It will cover each state's expansion costs in full for the first three years. After that, states will be responsible for no more than 10% of the tab.

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Source: CNN