TennCare - As enacted, prohibits the division from providing coverage or reimbursement for a medical procedure performed on, or administered to, an individual if the performance or administration of the procedure is for the purpose of enabling the individual to identify with, or live as, a purported identity inconsistent with the individual's sex, or treat purported discomfort or distress from a discordance between the individual's sex and asserted identity. - Amends TCA Title 71, Chapter 5.

SB 2118 would restrict Tennessee's Medicaid program (TennCare) from covering or reimbursing medical procedures intended to help an individual live as a gender inconsistent with their sex assigned at birth or to treat gender dysphoria. The bill defines "medical procedure" to include surgeries and the prescription of puberty blockers or hormones. Exceptions are allowed for procedures treating congenital defects, precocious puberty, or physical injuries (but not gender dysphoria), and for existing treatments started before the law's effective date (with coverage ending March 31, 2027). The law would take effect July 1, 2026.