Indiana Gov. Mike Pence (R) said a study conducted by the Lewin Group shows that the state's Medicaid program has achieved success in its design and implementation.
The independent healthcare consulting firm recently conducted the study to evaluate the progress of the Healthy Indiana Plan 2.0 in the first year of a three-year demonstration period that runs Feb. 1, 2015 through Jan. 31, 2018.
HIP 2.0 provides health insurance coverage for qualified low-income individuals ages 19 to 64, whose family income is at or below 138 percent of the federal poverty level and who are not eligible for Medicare or another Medicaid program.
The study notes that HIP 2.0 has several cost-sharing features to incentivize members to seek preventive care and to be cost- and health-conscious when seeking healthcare. The program provides coverage through a high-deductible health plan, along with a Personal Wellness and Responsibility Account valued at $2,500, which operates similarly to a health savings account. Members who consistently make required contributions to their POWER Account, called POWER Account Contributions, are enrolled in HIP Plus — a plan that includes enhanced benefits such as dental and vision coverage. HIP 2.0 also offers a HIP Basic plan, a more limited benefit plan, for those who do not make POWER Account Contributions.
Here are five key findings from the study.
1. Roughly 61,500 members (15 percent) disenrolled from HIP Plus or HIP Basic in the first year, according to the study. Disenrollment was attributed primarily to a change in income or having secured insurance from another source.
2. The study shows nearly seven out of 10 first-year members chose to make contributions into their POWER Accounts.
3. More than 62 percent of members whose incomes were at or below the federal poverty level participated in HIP Plus. Forty percent of HIP Plus members reported they check the balance of their POWER Account monthly.
4. The study found a majority of survey respondents (80 percent) were very satisfied or somewhat satisfied with their experience with HIP 2.0. HIP Plus members were more likely to be very or somewhat satisfied than HIP Basic members (86 percent of HIP Plus members, compared to 71 percent of HIP Basic members).
5. Most HIP Plus members did not report needing help making their POWER Account contributions, and more than 50 percent said they never or rarely worried about being able to pay their monthly contribution.
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