Louisiana Paid Nearly $10 Million In Medicaid Benefits For People Who Were Dead

(KHLA - Lake Charles, Louisiana) - A review of Louisiana Medicaid payments found that the state paid out nearly $10 million in benefits for residents who were deceased.

The money was paid to managed care organizations that were not giving care to the patients, because they had already passed away.

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As part of Governor Jeff Landry's Fiscal Responsibility Program, which he has named LA DOGE, the Louisiana Legislative Auditor carried out its investigation. It especially examined whether external data sources could assist state health officials in tracking the deaths of Medicaid beneficiaries.

Auditors discovered that 1,072 users passed away between February 2019 and March 2025, and that their combined Medicaid coverage costs came to almost $9.6 million. They claimed that because they only factored in dental coverage payments and not health coverage for the last eight months under consideration, the true spending amount was greater.

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In May, the auditor's findings were given to the Louisiana Health Department. According to the audit report, the state was required to withhold around $4 million in Medicaid payments to managed care organizations in June in order to recover a portion of the funds paid on behalf of deceased beneficiaries.

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