New York’s Medicaid and Child Health Plus programs added three-quarters of a million enrollees during the coronavirus pandemic, roughly matching the pace of a national surge in sign-ups.

Between February 2020 and January 2021, the combined rolls of the two health plans grew by 760,000 New Yorkers, the second-largest total in the country, newly updated federal data show.

The state’s growth rate of 13 percent was lower than the national average of 14 percent—in part because New York’s pre-existing enrollment was proportionally high.  At the same time, the increase as a share of the state’s population, at 3.7 percent, was higher than the national average of 3.0 percent.

Source: Centers for Medicare & Medicaid Services

As of January, the two government-sponsored health plans for the low-income and disabled were covering just over one in three New York residents, the fourth-highest fraction in the country.

The nationwide enrollment surge appeared to be primarily driven by the pandemic-induced recession, which threw almost 2 million New Yorkers out of work and decimated the incomes of many more.

Another factor was a slowdown in Medicaid attrition. Before the pandemic, tens of thousands of people per month would drop off New York’s rolls for failing to re-register or otherwise losing eligibility. For the past year, however, states were required to suspend that process as a condition of receiving federal emergency relief. That suspension is expected to continue through at least the end of 2021.

Along with higher enrollment comes higher costs for what is already one of New York’s most expensive programs. This year’s state budget projects that the state share of Medicaid will spike by 22 percent or $5 billion. Total Medicaid spending, including federal aid and local contributions, is expected to increase by 10 percent or $8 billion.

Heading into the pandemic, New York spent more per capita on Medicaid than any other state—roughly double the national average—due to a combination of relatively broad eligibility, extensive benefits and high provider costs.

About the Author

Bill Hammond

As the Empire Center’s senior fellow for health policy, Bill Hammond tracks fast-moving developments in New York’s massive health care industry, with a focus on how decisions made in Albany and Washington affect the well-being of patients, providers, taxpayers and the state’s economy.

Read more by Bill Hammond

You may also like

New York’s Health Premiums Stayed at the Top in 2025

New Yorkers and their employers paid the highest health premiums in the lower 48 states in 2025, and their costs moved further above the U.S. average, according to recently released federal data. Read More

NY’s Medicaid Fraud Watchdog Shows Declining Performance

Enforcement by the New York's Office of Medicaid Inspector General has dropped in recent years across a range of benchmarks – a sign that the state's anti-fraud efforts have slackened even as its Medicaid spending soared. Read More

The Attorney General’s MFCU SNAFU

Attorney General Letitia James' latest fight with the Trump administration focuses on New York's Medicaid Fraud Control Unit, a federally funded agency housed in James' office. On T Read More

Healthcare Revelations in the Enacted Budget Financial Plan

The state financial plan published on June 10 disclosed key information about healthcare revenue and spending that lawmakers had not made public when approving the annual budget two weeks before. Read More

Federal Suit Traces Medicaid Fraud to the Top of NYS Government

The Trump administration's latest salvo against Medicaid fraud takes aim at a different kind of target – two high-ranking New York officials along with a major state contractor. A Read More

Healthcare Highlights in the New State Budget

Governor Hochul's focus on affordability seems to have skipped over the healthcare portions of the new state budget. The deal finalized May 27 Read More

Lawmakers Consider Hiking Fees for Filling Prescriptions

UPDATE: The proposal discussed below passed the Assembly Friday evening by an unofficial vote of 133-0. Having previously been approved by the Senate, the bill will head to Governor Hochul's desk for her signature or ve Read More

Budget Deal Reportedly Earmarks $100M for 1199 and Extends MCO Tax

As Governor Hochul and legislative leaders rush to finalize the overdue state budget, outlines of some healthcare-related deals have begun to emerge from the closed-door negotiations. Read More