sj... totally depends. On Medicaid (state aid) they would cover a cnm hospital birth for me but not a de/lay/cpm homebirth midwife. (I think we have one cnm doing home births now who will take it.) That is what we have so I have complete coverage for the prenatals, birth, and baby at the hospital, but it is hard to find caregivers who are taking new patients with it. I got in with my OB only because I had seen her at a previous practice where they were accepting it, so I was still considered her patient when she moved to the new practice.
There is also state insurance, which I am not sure exactly how that works, but they will cover the homebirth midwives, but that program is only for families who make too much for Medicaid, so we don't qualify.
I think most insurance companies will cover a cnm hospital birth midwife but for homebirth it takes a lot of work to get it covered. Also, most don't cover birth completely anyway so parents still end up spending money out of pocket either way.
It makes no sense to me $$$ wise why they won't cover homebirth. It is a *lot* cheaper.
ETA: The vast majority of our midwives only practice at home *or* at the hospital and almost no doctors do homebirths here anymore.