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'What's Medicaid going to do?': Rising insurance costs may shutdown medical transportation companies

Posted at 6:40 PM, Nov 03, 2023

BUFFALO, N.Y. (WKBW) — Some medical transportation companies say they may have to shut down because of rising insurance costs.

These are companies that take people to and from doctor's appointments including dialysis.

One company president tells 7 News these services are in jeopardy with their "liability insurance" set to double.

Freedom Mobility is now working with other medical transport companies to figure out a path forward.

Jason Kiner relies on Freedom Mobility to take him to and from his medical appointments in Lockport.

"I need transportation going to dialysis and secondly this would take away my therapy sessions and trying to learn how to walk after losing both of my legs," said Kiner.

He said some days he is wiped out from the treatments and those are the days he especially appreciates not only the ride but the support he gets from the drivers, "It is very vital for supplying the help that we need."

Caleb Edward Bell Sr. is the president of Freedom Mobility. Bell is worried that after nearly a decade in business, he might not be able to help those in need anymore.

Bell told 7 News he and other medical transportation services just found out liability insurance is increasing.

"I received information from my insurance company and they said Medicaid was going to a $1 million liability," said Bell.

7 News: What are you at now?
Bell: I'm at $500,000
7 News: So, this is going to cost you double per vehicle?
Bell: Yes.
7 News: What would that mean for your business?
Bell: More than likely we're going to have to shut down.

Hazel Gray has relied on the ride service for four years to get to and from dialysis and other doctor's appointments. She said she doesn't know what she will do if they close.

"I wouldn't be able to make it to my appointments on Monday, Wednesday, and Friday. I don't have family nearby to take me. People like myself on a fixed income, you can't afford the Uber, the Lyft," she explained.

Bell is worried people like Gray and Kiner won't be able to get to those appointments if medical transportation companies like his shut down. He is planning to meet with at least a dozen other companies soon to discuss a plan.

"What's Medicaid going to do? How are they going to get all of these individuals that take medical transportation each and every day back and forth 5 to 6 days a week," said Bell.

Kiner said when he heard his ride service could be closing he thought, "It's terrible because when it comes to Medicaid sometimes I feel like they would rather have us die than help us out."