​Federal regulation 42 CFR 438.56 requires any Medicaid program that contracts with multiple managed care organizations (MCOs) to allow beneficiaries to disenroll or switch MCOs under specific circumstances.

Disenrollment without cause is allowed at the following times:

• During the 90 days following the date of initial enrollment in the MCO or during the 90 days following the date the state sends notice of enrollment, whichever is later.
• At least once every 12 months during open enrollment.
• In the event of temporary loss of Medicaid that caused you to miss the annual open enrollment.
  

Disenrollment with Cause

Disenrollment with cause may happen any time for any of the following reasons:

• The beneficiary moves out of the MCOs service area.
  
• The MCO does not, because of moral or religious objections, cover the service the beneficiary needs.
  
• The beneficiary needs related services (e.g., a cesarean section and a tubal ligation) to be performed at the same time; not all related services are available within the MCO network; and the beneficiary’s physician determines that receiving the services separately would be an unnecessary risk.
  
• Other reasons, including poor quality of care, lack of access to services covered under the contract or lack of access to providers experienced in dealing with the beneficiary’s special needs.

Cabinet for Health and Family Services
Department for Medicaid Services
Division of Provider and Member Services
275 East Main Street, 6E-C
Frankfort, KY 40621