Uncompensated Care: How Much is Too Much?

Abstract

Texas is home to the largest uninsured population in the U.S. Such problems emerge, in large measure, from the
state’s rejection of Medicaid expansion. That decision has prevented Texas from receiving $100 billion in federal
cash over a decade. Consequently, the number of uninsured residents either going without local medical care or
overloading adjacent communities is likely to increase. Therefore, this study seeks to explain the implications
of Medicaid expansion in Denton county. This paper explores the effects of expanding Medicaid and how that
would affect race, income, and Medicaid eligibility for indigent patients. The results of a Python–based simulation
show that, adjusting for Denton’s population growth at projected levels of uninsured, by 2020 the uncompensated
care will cost Denton County $42,716,796. This number will continue to rise to a total of $61,462,134 as a result
of ceasing Medicaid expansion and getting rid of the individual mandate. These numbers are important as they
show the rising costs of uncompensated care that are associated with an increase in population growth.