Indiana Announces Medicaid Expansion Alternative Plan

On May 15, 2014, Indiana Governor Mike Pence released a Medicaid expansion plan called HIP 2.0 that will replace traditional Medicaid for all non-disabled residents ages 19 to 64 with incomes up to 138% of the federal poverty level (FPL). It creates a benefit structure similar to commercial health insurance plans. The announcement noted that the HIP 2.0 plans will reimburse provider organizations at 100% of the Medicare rate, rather than at the state Medicaid rates.

A state fact sheet about HIP 2.0 noted the following details about the plan:

Enrollees will have two standard coverage . . .