SAN DIEGO-(BUSINESS WIRE)-Veyo, the company that contracts Medicaid non-emergency transportation (NEMT) services in Idaho, has pulled out of its contract with the state. The move comes more than a year before the company’s contract was scheduled to end. The Idaho Department of Health and Welfare said Veyo exercised an early termination right in its three-year contract, which went into effect July 1, 2016. The state has been receiving complaints about the Veyo service since it took over for Colorado-based American Medical Response.
Veyo, which was spun off from the Total Transit trucking and taxi operation last year, aims to shake up the industry by relying on smartphone-based technology popularized by Uber and Lyft to help Medicaid members get to doctors’ appointments. The company uses a network of independent drivers – akin to Uber – to provide rides to Medicaid participants in private vehicles, as well as contracting with traditional transportation providers. The company says it uses a sophisticated software platform that monitors every trip and achieves a 99.6 percent on-time performance average.
But a rash of incidents, including a case where a driver dropped off a special needs client at the wrong southern Idaho home, has raised concerns about Veyo’s performance. The company has also been accused of underpaying drivers. In November, the owner of a local transportation company told Idaho Reports that Veyo has not been paying him enough to stay in business. Another Idaho transportation provider, Trinity Transport, closed earlier this summer over low Medicaid payments.