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Indiana Accepts Medicaid Expansion

Medicaid Expansion is accepted by the state of Indiana.  Indiana has worked out and agreement with the federal government to expand Medicaid under the Affordable Care Act. The state secured concessions from the department of HHS  that will allow it to expand coverage starting February 1, 2015 for its residents.

Under Indiana’s Medicaid Expansion agreement with the department of HHS, the state can require some Medicaid enrollees to contribute toward their care. The Indiana Medicaid Expansion agreement marks the first time a state has been allowed to impose strict requirements on some Medicaid enrollees. The agreement provides the state with the ability to require some enrollees to pay a portion of their premiums, up to around $26 a month for a single adult, or get locked out of the program. The Indiana Medicaid Expansion agreement also introduces a new penalty for participants who overuse the emergency room.

Under the Indiana waiver, new beneficiaries in the program with incomes under the federal poverty level of around $11,700 for a single adult would be required to pay 2% of their monthly income, or lose benefits such as dental and vision care. All enrollees will be required to pay at least $1, and the fees could go up to around $20 for a single adult, or more for a family.

Individuals making a little above the federal poverty level would also be required to make a 2% contribution, which could range from around $20 to $26 a month for a single adult, and they could be locked out of coverage for six months if they fall behind in their payments. Many enrollees in the program will also have a copay of up to $25 for repeat inappropriate emergency room use.

The expansion decision by Governor Pence is the latest example of how the GOP is trying to broaden its reach by appealing to lower earners. It also signals a growing willingness by the Obama administration to cut deals with states in order to expand insurance coverage under the 2010 health law after the Supreme Court hampered that effort.

“With this decision, our state can begin covering our uninsured working poor the Indiana way, based on personal responsibility,” Mr. Pence said Tuesday. As a result of the deal, about 350,000 Hoosiers could qualify for coverage.

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