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Yes. Medicaid covers substance use treatment in every state, but which levels of care are covered, and at which providers, depends on your state and on the managed care plan that holds your benefit.

Rehabs That Take Medicaid: Our In-Network Campuses

Medicaid works state by state and plan by plan. These campuses hold contracts with the Medicaid plans listed, and several cover only specific levels of care, such as detox. If your state or plan is not listed, we are not in network for it; admissions can still talk through your options.

Call 855-520-2898 Verify your benefits

Colorado Medicaid

  • The Recovery Village Palmer Lake
    Palmer Lake · Detox, inpatient, PHP, IOP, outpatient, aftercare
    • Colorado Access (Health First Colorado) (detox only)
    • Colorado Community Health Alliance (Health First Colorado) (detox only)
    • Northeast Health Partners (Health First Colorado) (detox and residential only)
    • Rocky Mountain Health Plans Medicaid (detox and residential only)
  • Denver Mental Health & Counseling
    Highlands Ranch · Outpatient, IOP, dual diagnosis
    • Colorado Access (Health First Colorado)
    • Colorado Community Health Alliance (Health First Colorado)
    • UBH/Optum Rocky Mountain (Medicaid) (substance use only)

Florida Medicaid

  • Orlando Recovery Center
    Orlando · Detox, inpatient, inpatient mental health, PHP, aftercare
    • Optum Medicaid (substance use IOP and outpatient only)
  • Orlando Outpatient Center
    Maitland · Outpatient, IOP, telehealth
    • Optum Medicaid (substance use IOP and outpatient only)

Indiana Medicaid

  • The Recovery Village Indianapolis
    Indianapolis · Detox, inpatient, PHP, aftercare
    • Anthem Blue Cross Blue Shield Indiana Medicaid (HIP, Hoosier Healthwise)
    • CareSource Indiana Medicaid (PHP not covered)
    • Optum Medicaid

Massachusetts Medicaid

  • Washburn House
    Worcester · Detox, inpatient, PHP, IOP, aftercare
    • Beacon Health Strategies (MassHealth) (substance use only)
    • Molina (MassHealth) (substance use only)
    • UnitedHealthcare Community Plan (MassHealth) (substance use only)
    • Massachusetts Behavioral Health Partnership (MBHP) (substance use only)

New Jersey Medicaid

  • The Recovery Village Cherry Hill at Cooper
    Cherry Hill · Detox, inpatient, PHP, IOP, outpatient, aftercare
    • Aetna Better Health of New Jersey (Medicaid) (detox only)
    • Horizon BCBS NJ Medicaid (detox only)
    • Optum NJ Medicaid (detox only)
    • Horizon BCBS NJ dual Medicaid/Medicare

Ohio Medicaid

Oregon Medicaid

  • The Recovery Village Salem
    Salem · Detox, inpatient, aftercare
    • Oregon Health Plan (OHP) (detox only)
    • AllCare CCO (detox only)
    • Trillium CCO (detox only)
    • Yamhill Community Care CCO (detox only)
    • InterCommunity Health Network CCO

Texas Medicaid

  • Promises Brazos Valley
    College Station · Detox, inpatient, inpatient mental health, PHP, IOP, aftercare
    • Aetna Better Health of Texas (substance use only)
    • Blue Cross Blue Shield of Texas Medicaid (substance use only)
    • Wellpoint (Beacon) Medicaid (substance use only)
    • Molina Medicaid (substance use only)
    • UnitedHealthcare/Optum Medicaid (substance use only)
    • Superior HealthPlan (substance use only)
  • Promises Dallas-Fort Worth
    Lewisville · Detox, inpatient, inpatient mental health, IOP, aftercare
    • Aetna Better Health of Texas (substance use only)
    • Blue Cross Blue Shield of Texas Medicaid (substance use only)
    • Wellpoint (Beacon) Medicaid (substance use only)
    • Molina Medicaid (substance use only)
    • Superior HealthPlan (substance use only)
  • The Right Step Houston
    Houston · Detox, inpatient, PHP, IOP, aftercare
    • Aetna Better Health of Texas (substance use)
    • Blue Cross Blue Shield of Texas Medicaid (substance use)
    • Wellpoint (Beacon) Medicaid (substance use)
    • Community Health Choice Medicaid (substance use)
    • Magellan Medicaid (substance use)
    • Molina Medicaid (substance use)
    • Superior HealthPlan (substance use)
    • UBH/Optum Medicaid (substance use)

Washington Medicaid

  • The Recovery Village Ridgefield
    Ridgefield · Detox, inpatient, PHP, IOP, dual diagnosis, MAT
    • InterCommunity Health Network CCO (Oregon Medicaid) (substance use only)

Plans checked against our contract list on September 25, 2026. Admissions confirms your plan and level of care before admission.

Does Medicaid Cover Rehab?

Usually yes. What is covered, and where, depends on your state and on which plan holds your benefit. Medicaid programs must follow federal guidelines, but eligible income levels, coverage and costs differ from state to state [1]. That split between a federal floor and state design is why no single national answer exists.

This page covers what federal rules guarantee, what varies, which levels of care are commonly paid for, and how to check your own benefits first. If you hold a commercial plan rather than Medicaid, you can verify your insurance directly, and our plan-specific pages for Aetna, Cigna and Humana explain how a commercial benefit is usually structured. Our guide to insurance coverage for rehab covers the wider picture.

Medicaid and Substance Use Treatment: What Federal Law Requires

Two federal rules do most of the work here.

The first is parity. The Mental Health Parity and Addiction Equity Act applies to health plans that cover mental health and substance use care. It stops them placing harsher limits on that care than on medical and surgical care [2]. Money rules such as copays and coinsurance are covered. So are limits on treatment, such as caps on visits [2]. Neither can be more restrictive than the rules applied to nearly all medical and surgical benefits in the same class [2]. Limits that apply only to mental health and substance use benefits are banned outright [2]. Parity has a scope worth knowing. It applies to non-federal governmental plans with more than 50 employees, and to group health plans of private employers with more than 50 employees, and to the individual market [2]. Read that threshold as sitting on both, not only on the private employers. Small group plans are not covered directly. Non-grandfathered small-group and individual plans get the same protection another way, through the Affordable Care Act’s essential health benefit requirement [2].

There is an important catch. Parity governs how a plan that covers this care must behave. It does not force a plan to cover it at all [2].

The second rule is the essential health benefits rule. The Affordable Care Act made mental health and substance use services one of ten essential health benefit groups. This applies to non-grandfathered individual and small group plans [2].

Marketplace plans must cover three things. Behavioral health treatment such as therapy and counseling. Inpatient mental and behavioral health care. And treatment for substance use disorders [3]. Those plans also cannot put a yearly or lifetime dollar cap on an essential health benefit [3].

Parity there covers three kinds of limit: money limits like deductibles and copays, treatment limits like caps on days or visits, and care management limits, such as needing approval before you start [3].

Why the Answer Changes in Every State

States run their own programs, and they name them differently. Medicaid may appear as Medical Assistance, or under a state brand.

Eligible income levels, coverage and costs all vary from state to state within those federal guidelines [1]. So two people in the same situation can get different answers in different states. That bites hardest on residential and inpatient care, on how many days are approved before a review, and on which providers are in network. It bites least on outpatient rehab, which tends to be the most widely available level wherever you are.

This is the main reason to distrust any web page, this one included, that tells you what Medicaid covers. What a page can do is tell you which questions to ask, and who to ask.

Start with two bodies in your state: the Medicaid agency and the behavioral health authority. Both publish the benefit, the plan arrangements and the appeal route. Then confirm with the plan that actually holds your benefit.

Managed Care Organizations and Which One Holds Your Benefit

A state may deliver Medicaid benefits itself or through managed care plans it contracts with, and the federal managed care rules set out the requirements, prohibitions and procedures for delivering Medicaid services through those organizations [4]. Which arrangement applies to you is named on your card, and it decides who you actually deal with.

This matters more than people expect. The plan, not the state agency, usually decides network status. It grants approval in advance. It runs the reviews that decide whether care continues. It is also the body you appeal to first.

Some states split behavioral health into a separate contract from physical health. So the plan that covers your doctor may not be the plan that covers your treatment.

Work out which body holds the behavioral health benefit before anything else. Every later question goes to that body. Call the member services number on your card, and ask for behavioral health benefits by name rather than for coverage in general.

Working out what your plan will actually pay

The Recovery Village Umatilla is our campus in Umatilla, FL. Its own page publishes medical detox, residential inpatient rehab, a partial hospitalization program, outpatient care, aftercare planning and inpatient mental health care, and its admissions team can run a benefits check with you rather than leaving you to work through it alone.

See treatment options in Florida Verify your insurance

The Recovery Village Umatilla is part of our family of treatment centers. See the Recovery Village Umatilla campus.

Levels of Care Medicaid Commonly Funds

The ladder is the same one every payer uses. State programs generally fund most of it.

Detox, or withdrawal management, is the usual first step where the body has become dependent. Federal guidance states plainly that detoxification is not substance abuse treatment and rehabilitation [8], and NIDA supplies the consequence: detoxification alone, without subsequent treatment, generally leads to resumption of drug use [7]. Expect a plan to ask what comes after it. Our page on medical detox explains the service.

Residential and inpatient care is the level most often restricted. The next section explains why.

A partial hospitalization program gives near-full clinical days with no overnight stay. An intensive outpatient program provides several hours a week of coordinated care. That includes one-to-one sessions, group sessions and medication support [5]. Standard outpatient care is regular counseling alongside ordinary life [5].

Medication for substance use disorders is widely funded. Federal guidance names methadone, buprenorphine and naltrexone as the standard of care for opioid use disorder. Medications exist for alcohol use disorder too [5]. See medication-assisted treatment and the full levels of care.

The IMD Exclusion and Why Residential Beds Are Limited

Almost nobody explains this piece. It decides more Medicaid residential cases than any clinical factor.

Federal rules define an institution for mental diseases. It means a hospital, nursing facility or other institution of more than 16 beds. The test is that it is mainly engaged in the diagnosis, treatment or care of people with mental diseases [6]. Whether a place counts is judged on its overall character, not on how it is licensed [6].

Federal Medicaid matching funds are not available for people aged 22 to 64 who are patients in such an institution, and the regulation makes an exception only for people under 22 receiving inpatient psychiatric services [9]. The effect is practical. Larger residential and inpatient addiction sites have often sat outside what Medicaid will pay for. Beds are therefore scarcer for Medicaid members than clinical need alone would suggest.

States have used waivers and other routes to work around this. Arrangements differ a lot. It is a live area and it keeps changing, so treat any general claim about it, ours included, as a prompt to ask your plan.

Take this away from it. If you are told residential care is not available on your plan, that may be a funding rule rather than a judgment about whether you need care. That distinction is worth raising when you appeal.

What to Do When the Campus You Want Is Not a Medicaid Provider

It happens often. There are more options than people realize.

First, confirm it rather than assuming. Network status is plan-specific and it changes. Ask the facility and ask the plan. They sometimes disagree.

Second, ask about a single case agreement. A plan may approve an out-of-network provider for one member when no suitable in-network option is available nearby or in time. That is a conversation for the admissions team and the plan, not one a member usually handles alone.

Third, look at in-network options honestly. You can also search the federal locator at FindTreatment.gov. Our own directory of rehab facilities and our list of drug and alcohol rehab facilities cover our side of the picture.

Fourth, ask about self-pay and sliding-scale terms. Some people bridge a gap that way, often for detox, then move to an in-network provider for the longer phase. Read how much rehab costs first.

Medicaid Expansion States and the Coverage Gap

Who qualifies is not uniform either. That surprises people before any question of coverage arises.

Some states expanded their Medicaid program to cover adults below a certain income level [1]. Others kept narrower rules. Whether your state did one or the other is the single fact that decides eligibility for a lot of people, and it has nothing to do with how much treatment someone needs.

In a state that did not expand, a gap opens up. People earn too much for the state’s narrower rules and too little for marketplace help with premiums.

If you have been told you do not qualify, check where your own state sits rather than taking a general figure from anywhere, this page included. Your state Medicaid agency is the authority on that. If you land in the gap, marketplace plans must still cover substance use disorder treatment as an essential health benefit [3].

Checking Your Medicaid Coverage Before You Call

Do this before you contact any provider. It takes one phone call and it changes the whole conversation.

Have your member ID card in front of you. Ask which body holds your behavioral health benefit. Ask whether the level of care being considered needs approval in advance, and who files it. Ask how often the plan reviews care that is already running. Ask what the appeal route is if approval is refused, and what the deadlines are.

Write down names and reference numbers. Ask for decisions in writing.

One warning is worth repeating. A benefit existing is not the same as a given admission being approved. Coverage statements on any web page, ours included, describe the general shape of a program. Only your plan can confirm what it will pay for you.

When you are ready to move, our admissions process page sets out what happens next. The rehab intake process covers the clinical side, and if time away from work is part of the worry, how to go to rehab and keep your job deals with that separately.

Frequently Asked Questions

Does Medicaid cover drug and alcohol rehab?

Generally yes, though what is covered depends on your state and your plan. Medicaid programs follow federal guidelines, while eligible income levels, coverage and costs vary from state to state. Parity rules stop a plan that covers this care from limiting it more harshly than medical and surgical care. They do not force a plan to cover it at all.

Does Medicaid cover medical detox?

Withdrawal management is commonly funded. It is the usual first step where the body has become dependent. Expect the plan to ask what treatment follows: federal guidance states plainly that detoxification is not substance abuse treatment and rehabilitation, and NIDA adds that detoxification alone, without subsequent treatment, generally leads to resumption of drug use. Approval in advance is often needed, and the rules are set by the plan holding your behavioral health benefit.

How many days of residential treatment will Medicaid authorize?

There is no fixed number. Any figure quoted without reference to your plan is a guess. Plans approve an initial period on clinical criteria, then review it to decide whether to extend. Parity rules limit how caps on days may be applied compared with medical and surgical care. Ask your plan for its criteria in writing.

What if our campus is out of network for my Medicaid plan?

Confirm it with both the facility and the plan first, since they sometimes disagree. Then ask about a single case agreement, which a plan may grant when no suitable in-network option is available. In-network options can be searched through the federal treatment locator. Self-pay or a sliding scale is a third route worth asking about.

How do I verify my Medicaid benefits?

Call the member services number on your card and ask for behavioral health benefits by name. Establish which body holds that benefit. Ask whether the level of care needs approval in advance and who files it. Ask how often care is reviewed once it starts, what the appeal route is, and what the deadlines are. Get decisions in writing.

Sources

  1. HealthCare.gov. Getting Medicaid & CHIP. Centers for Medicare and Medicaid Services. https://www.healthcare.gov/medicaid-chip/getting-medicaid-chip/
  2. Centers for Medicare and Medicaid Services. The Mental Health Parity and Addiction Equity Act (MHPAEA). https://www.cms.gov/marketplace/private-health-insurance/mental-health-parity-addiction-equity
  3. HealthCare.gov. Mental health and substance abuse coverage. Centers for Medicare and Medicaid Services. https://www.healthcare.gov/coverage/mental-health-substance-abuse-coverage/
  4. Legal Information Institute. 42 CFR § 438.1 — Basis and scope. Cornell Law School. https://www.law.cornell.edu/cfr/text/42/438.1
  5. National Institute on Drug Abuse. Treatment. National Institutes of Health. https://nida.nih.gov/research-topics/treatment
  6. Legal Information Institute. 42 CFR § 435.1010 — Definitions relating to institutional status. Cornell Law School. https://www.law.cornell.edu/cfr/text/42/435.1010
  7. National Institute on Drug Abuse. (2020). Drugs, Brains, and Behavior: The Science of Addiction — Treatment and Recovery. National Institutes of Health. https://nida.nih.gov/publications/drugs-brains-behavior-science-addiction/treatment-recovery
  8. Center for Substance Abuse Treatment. (2006). Detoxification and Substance Abuse Treatment, Chapter 1: Overview, Essential Concepts, and Definitions in Detoxification. Treatment Improvement Protocol (TIP) Series No. 45, SAMHSA. https://www.ncbi.nlm.nih.gov/books/NBK64119/
  9. Legal Information Institute. 42 CFR § 435.1009 — Institutionalized individuals. Cornell Law School. https://www.law.cornell.edu/cfr/text/42/435.1009

This page is for general information and is not medical advice. Only a licensed clinician who knows your history can tell you what is right for you. If you or someone you know is in immediate danger, call 911. For free, confidential support 24/7, call or text 988.

Author
Kevin Wandler
Chief Medical Officer, The Recovery Village

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