Friday, July 27, 2018
Throughout the country, Indiana is viewed as a leader in health care reform. The implementation of the Healthy Indiana Plan (HIP) in 2008 and its expansion in 2014 made us the first state in the nation with a consumer-driven health care program for Medicaid beneficiaries, and now, there are more than 400,000 Hoosiers receiving coverage.
The plan covers Hoosiers between the ages of 19 and 64 who meet specific income levels and rewards members for taking better care of their health. The goal of HIP is to promote personal responsibility and individuals’ control over health care choices while still providing assistance to Indiana residents who aren’t able to obtain health care through private providers.
HIP is different from traditional Medicaid because it is based on consumer-driven principles that empower working-poor Hoosiers to take responsibility for their health. For example, those enrolled in the program are required to contribute about two percent of their household income to their health care account to receive assistance. Earlier this year, the federal government approved a change to HIP that requires most participants to work, look for work, volunteer or enroll in an educational program to remain eligible. Exceptions are made for pregnant women, those over age 60, former foster children under 26, chronically homeless, recently incarcerated, and medically frail individuals, among others.
Indiana is a working example of how states can successfully apply private, market-based reforms to Medicaid. Instead of offering permanent entitlements that discourage self-improvement, these requirements help people escape poverty.
For more information on HIP, visit www.IN.gov/FSSA/HIP/.
