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Pence's Health Care Plan Gains Support, Criticism

Last updated on Monday, June 2, 2014

(UNDATED) - Governor Pence’s proposal to replace Medicaid with an expanded Healthy Indiana Plan has brought compliments and criticism from unexpected places.

Several conservative think tanks have slammed Pence for accepting Obamacare's broadened Medicaid eligibility -- one dismisses the plan as "free-market window dressing."

Pence says the reaction inside Indiana has been enthusiastic on both sides of the aisle, something he says he hopes federal officials will note when they consider whether to approve the plan.

Pence says he's encouraged by positive comments at last week's required public hearings, and notes administration officials have been traveling the state conducting more informal sessions.

Pence is proposing to increase eligibility from the poverty line to 38-percent above it, while introducing a new stripped-down coverage plan for people who don't want to set money aside in the health savings accounts HIP relies on. And Pence has proposed a state premium subsidy through HIP for people who want their employers' insurance plans but can't afford them.

Pence says the expansion is financially sustainable, even after full federal funding is cut back to 90-percent in 2020. The Indiana Hospital Association has pledged 50-million dollars to plug the gap.

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