May 2007, Governor Mitch Daniels signed legislation that changed the health care policy in Indiana through a program that will provide health insurance coverage for uninsured Hoosiers. State Senator Patricia Miller and Representative Charlie Brown, who worked throughout the legislative session to gain passage of the plan, were among those who joined the governor to sign House Enrolled Act 1678.

Here’s a snap shot of the legislation:

House Bill 1678

A Bill for an Act to amend the Indiana Code concerning health and to make an appropriation:

• Provides a tax credit related to small employer qualified wellness programs
• Increases the cigarette tax by 44 cents per pack to fund various health related expenses
• Allows an employer to take a tax credit for making a health benefit plan available
• Increases the income limit for Medicaid eligibility for pregnant women up to 200% of the federal poverty level (FPL)
• Requires application for necessary federal Medicaid approvals, including approval for presumptive eligibility for certain pregnant women and implementation of the plan
• Provides 12-month continuous eligibility of a child under Medicaid and CHIP from birth up to age three
• Increases CHIP eligibility family income limit for children up to 300% FPL
• Establishes the Indiana Check-Up Plan and the Indiana Check-Up Plan trust fund. (also known as the Healthy Indiana Plan). Under the Plan,
  • People who have been uninsured for 6 months and who make up to 200 percent of the federal poverty level ($20,420 for an individual and $41,300 for a family of four) could buy insurance under the program;
  • It provides $500 in free preventive care;
  • It provides coverage for single adults up to 200% FPL and establishes a $1,100 power account to pay annual health expenses;
  • After the power account is exhausted, it also provides up to $300,000 of annual insurance coverage from a private company;
  • Depending on income, participants would pay only 2 percent to 5 percent of their adjusted gross income in premiums.
• Allows children up to age 24 to stay on their parents' health insurance plans; creates an insurance pool for small businesses; and provides tax incentives to encourage more employers to offer insurance through Section 125 plans.
• Requires health insurers and health maintenance organizations to cover children up to 24 years old upon request
• Allows certain small employers to join together to purchase group health insurance and allows the insurance commissioner and the office of the secretary of family and social services to develop a program to provide such purchases
• Requires state department of health to establish standards for and certify a small employer qualified wellness program
• Makes funding changes to the hospital care for indigent program, the municipal disproportionate share program, and the Medicaid indigent care trust fund
• Requires the Indiana comprehensive health insurance association to administer plan benefits for high risk individuals insured under the plan
• Establishes a plan task force, make appropriations, makes conforming and technical changes
• Requires the health finance commission to study and report concerning several issues

Click here for a printable version of the one-page summary prepared by the CKF-IN Public Policy Committee

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