CMS Final Rule Allows States to Determine Medicaid Work Requirement Exemptions for Cancer Patients

The Centers for Medicare & Medicaid Services (CMS) issued a final rule that allows states to implement work requirements for Medicaid recipients, a policy shift that excludes cancer patients from automatic exemptions. This decision contradicts previous assurances from lawmakers who suggested that individuals undergoing cancer treatment would remain protected from potential coverage losses associated with work-related mandates.

The new federal guidance clarifies that states possess the authority to determine whether cancer patients qualify for exemptions from work requirements, rather than mandating a blanket protection at the federal level. Advocates for the cancer community, including representatives from Blood Cancer United, expressed concern that this policy change creates a significant risk for patients who may lose their health insurance if they cannot meet employment criteria while navigating intensive medical treatments. The rule establishes a framework where states must now define their own criteria for “medically frail” populations, leaving the specific status of cancer patients subject to individual state policies rather than uniform federal standards.

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Date: June 4, 2026

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GOAI