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Date: Fri, 14 Dec 2007 14:36:19 -0500
Sender: "US Dept of HHS: Press Releases, Other Info" <HHSPRESS [bat]LIST.NIH.GOV>
Subject: HHS RELEASE--Medicaid Waiver to Create New Indiana Health Plan for Uninsured Hoosiers
Date: December 14, 2007
For Release: Immediately
Contact: CMS Office of Public Affairs
(202) 690-6145
Headliner:
HHS Approves Medicaid Waiver to Create New Indiana Health
Plan for Uninsured Hoosiers
Healthy Indiana Plan Combines Personal Responsibility and Public DollarsHHS Secretary Mike Leavitt today announced the approval of a Medicaid
waiver that will allow the state of Indiana to implement an innovative
health care proposal giving approximately 120,000 low-income, uninsured
residents access to critical health care services. Through the waiver,
the state will be able to begin accepting applications for the new
health care coverage, called the Healthy Indiana Plan (HIP).
"This is a forward-thinking plan to reduce the numbers of uninsured
Indiana residents, and I applaud Governor Mitch Daniels for leading such
important health care reform in the state of Indiana," Secretary Leavitt
said. "It is critical that every state in this nation be thinking of
creative new ways to help residents gain access to health care and, at
the same time, working to make those ideas become reality. At the
national level, President Bush has outlined several proposals that would
give more Americans access to health insurance, but this is an excellent
example of what can be done now in the states to advance this important
objective."
"We're glad the Department of Health and Human Services and Office of
Management and Budget gave us approval for this program in a matter of
months," said Governor Daniels. "This is a big step forward that will
lead to approximately 120,000 uninsured Hoosiers having the peace of
mind of health insurance."
HIP was approved as a Medicaid Section 1115 demonstration project and
will extend health insurance to low-income parents of children now
covered by Medicaid and the State Children's Health Insurance Program
(SCHIP), as well as childless adults. To be eligible for coverage,
enrollees' incomes must not exceed 200 percent of the federal poverty
level (FPL), or $20,420 for an individual and $41,300 for a family of
four.
Enrollment in the plan will give participants access to a
high-deductible health plan that includes an account patterned on the
model of a health savings account. To assist with out-of-pocket costs
incurred prior to the coverage threshold, both the individual and the
state will make contributions to a Personal Wellness and Responsibility
(POWER) account. Participant contributions to the POWER account will be
set on a sliding scale based on ability to pay, but at no more than five
percent of gross family income. Any funds remaining in the account at
the end of the year can be rolled-over to offset the following year's
contributions if age-appropriate preventative services are obtained.
No copay will be required for services except for use of an emergency
room for non-emergency treatment. Benefits will include physician
services, prescription drugs, home health services, in-and out-patient
hospital services, mental health and substance abuse treatment, and
preventive services.
The program also permits and encourages employers to contribute to their
employees' POWER accounts.
"The Healthy Indiana Plan provides support for those with low-incomes
but also requires them to assume some responsibility for the cost of
that care. I am pleased to approve the waiver for this new program and
hope other states will follow Indiana's model of combining personal
responsibility with public support to help those who are truly in need
gain health coverage," Secretary Leavitt said.
More information about the Healthy Indiana Plan is available on the
State of Indiana's Web site at
http://www.hip.in.gov###
Note: All HHS press releases, fact sheets and other press materials are
available at
http://www.hhs.gov/news--------------------------------------------------------------------------
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