While Medicaid remains the primary health insurer for children in foster care, the financing and delivery system of Medicaid benefits for foster care children has shifted significantly over time. Historically, due to their complex needs, children in foster care have been enrolled in the Medicaid fee-for-service (FFS) delivery system and excluded from Medicaid managed care initiatives. However, as more states have transitioned the management of their Medicaid benefits to manage care plans and have included complex patients in their managed care programs, foster care children are now often included in the Medicaid managed care options.

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