January 28, 2015

WE ALL KNOW WHERE WE'RE HEADED:

Indiana Gov. Mike Pence Expands Medicaid Under Obamacare (Jeffrey Young, 01/27/2015, Huffington Post)

GOP governors and legislators in states like Arkansas, Ohio and Pennsylvania have extracted concessions, including increasing the role of private health insurance plans in Medicaid, from President Barack Obama's administration, which is eager to provide Medicaid coverage to as many poor Americans as possible. Including Indiana, 28 states and the District of Columbia have expanded Medicaid under the Affordable Care Act.

Pence's plan is the biggest departure from traditional, government-run Medicaid yet. The so-called Healthy Indiana Plan 2.0, as Pence dubbed it, ties benefits to monthly payments by beneficiaries below the poverty line, a first for Medicaid, and includes other features Pence billed as conservative and market-based.

"We have worked hard to ensure that low-income Hoosiers have access to a health care plan that empowers them to take charge of their health and prepares them to move to private insurance as they improve their lives," Pence said in a press release.

The Healthy Indiana Plan 2.0, or HIP 2.0, differs greatly from traditional Medicaid, under which people with low incomes and people with disabilities are covered by a government program that pays for their medical care.

Pence's program builds on the state's 7-year-old Healthy Indiana Plan, which currently covers 60,000 people with high-deductible health insurance and health savings accounts. Adults without disabilities who are currently enrolled in traditional Medicaid will be moved to the Healthy Indiana Plan, also known as HIP.

The most novel aspect of the so-called HIP 2.0 is that enrollees will have to make contributions into "POWER accounts," modeled after private-sector health savings accounts. People with incomes above poverty, which is about $11,500 for a single person, must deposit between $3 and $25 into these accounts per month. People who fail to make these payments can get their benefits taken away for six months. These contributions are optional for people making below poverty wages, but if these beneficiaries don't contribute, they receive less generous health coverage. Individuals who use these POWER accounts and receive required preventive health services will pay less for their benefits.

Posted by at January 28, 2015 1:17 PM
  

blog comments powered by Disqus
« IT'S GOING TO BE REFORMED, NOT REPEALED: | Main | THERE'S NO SUCH THING AS SPECIES: »