INDIANAPOLIS (AP) -
Indiana plans to seek federal approval to begin offering low- and
moderate-income people using the Healthy Indiana Plan up to $1,000 over 12
months as they switch to employer insurance or other health care coverage.
The HIP Workforce
Bridge program would allow people to continue to spend the funds from their
HIP health savings accounts as they transition. The Healthy Indiana Plan is
funded through former President Barack Obama’s signature health care law.
The money would
help people pay for premiums, deductibles, co-payments and co-insurance for
one year, regardless of whether they get insurance through a company or pay
for it on the insurance exchange.
The state’s Family
and Social Services Administration made the announcement Wednesday.
“When you take a
step forward in your career, you should also continue to take steps to be
healthy,” Gov. Eric Holcomb said. “We want Hoosiers to pursue meaningful
employment while continuing to see their doctor, take their medicines and
maintain their overall health.”
Administration
analysts estimate the program could help around 27,000 people per year.
Indiana currently
requires some people on Medicaid to either have a job, volunteer or care for
a young child or disabled adult to obtain the health care benefits. But the
cost of transitioning from HIP to other health care coverage can be a
deterrent to seeking employment.
“Many of us know
from experience that even when someone gets a new job, there can still be a
period of time when health care costs are a concern,” FSSA Secretary
Jennifer Walthall said. “With HIP Workforce Bridge, we will help fellow
Hoosiers move into an exciting and rewarding next phase of their lives
without adding the stress of health coverage uncertainty.”
To launch HIP
Workforce Bridge, FSSA has recommended a change to the federal waiver that
permits the HIP program. The proposal aligns with the full implementation of
Indiana’s Gateway to Work initiative in 2020.
The cost of the
program would be $25.9 million a year, according to estimates by Milliman
Inc. The state plans to tap unutilized money from HIP POWER accounts to help
subsidize the program.
The waiver request
also extends an exemption to the work mandate for caretakers with dependent
children younger than 13. The novel proposal would have only exempted
guardians with dependent children younger than 7.
This month, the
FSSA will hold two community hearings on the proposal. If approved, the
program will launch in 2020.