Maureen Groppe, writing for Gannett, has a story entitled “Report: Big Drop in Uninsured if Indiana Expands Medicaid.”
To recap, part of the healthcare reform effort was to expand Medicaid eligibility for people up to 138% of the poverty level (that’s roughly $27,000 for a family of three according to the news article). Originally, the expansion was more or less mandatory; but the Supreme Court said it had to be discretionary, state by state. Gov. Pence never liked the idea of health care reform and, one gets the sense that his opposition is as much political as it is policy-driven. And, so, Indiana is exercising its discretion not to expand Medicaid. Instead, as a fig leaf of sorts, Indiana is attempting to have the feds endorse the state’s Healthy Indiana plan as a Medicaid expansion substitute.
“Gov. Pence has made clear to Secretary Sebelius that any discussion on a potential coverage increase must start with the Healthy Indiana Plan,” Pence spokeswoman Kara Brooks said Wednesday. “As our current waiver expires at the end of this year, the first priority is to secure an extension of the current program.”
(“Must” — the feds love it when you try to dictate terms to them.) In any event the Healthy Indiana plan covers 37,000 with 53,000 on a waiting list. The Medicaid expansion, funded mostly by the federal government, would insure 400,000. According to the Kaiser Commission report cited by Ms. Groppe, the number of uninsured Hoosiers would be cut in half; reducing the state’s non-elderly, uninsured population from 17% to 8%.
Also, according to Aaron Carroll, aside from not covering as many people, the Healthy Indiana plan costs Indiana more than Medicaid expansion would. A lot more:
Indiana will save a lot of money by allowing the expansion to occur. In 2009, it’s estimated that we spent more than $150 million on the Healthy Indiana Plan. This would no longer be needed, as many would transition into either the Medicaid expansion or the private insurance exchanges. We spent $15 million on our high risk pool plan, which would no longer be needed, as those people would get insurance elsewhere, too. We spent more than $12 million on local tax credits for businesses buying insurance which would no longer be needed as they are replaced by federal tax credits. We spent more than $125 million on uncompensated care for the indigent which would no longer be needed, as far fewer people would be uninsured. And, finally, there was a hidden tax of almost $30 million put on Hoosiers to pay for uninsured care for others through cost shifting and higher premiums. This, too, would go away. We may even be able to save more money if we petition HHS to allow us to transition some children and families from CHIP to the exchanges. But even without that, if you add all the spending I just laid out together, Indiana could have saved more than $335 million in 2009 alone, compared to the $63 million the expansion would have cost if Indiana had covered 10% that year. The savings would more than pay for the costs of the expansion moving forward.
Let’s get back to basics. The rest of the industrialized world has figured this out. They provide health care to their people; they do it for less money; and they get similar if not better outcomes. We could do this too if we wanted to; we’re just reluctant to do so.
Kilroy says
Oh sure, like talking reason and logic will actually have any affect on the Mr. Pence. Can someone please explain in such a way to show the Gov. that Medicaid Expansion will actually be an insult to Obama. Need some basic psychology to work on that one.
Paddy says
“We could do this too if we wanted to; we’re just reluctant to do so.”
I think you are lumping too many people in to the “we” and “we’re”. It is really a small, idelogoy driven minority that can’t accept that America isn’t 100% right and 100% better than the rest of the world 100% of the time. God forbid we had to use some dirty foreigners’ solutions to a problem that threatens to sink future generations.
Paddy says
Sorry, I should have used scare quotes around “dirty foreigners'”
David Z says
I’m still not convinced that the Governor has no clue what he’s doing in his “new” office.
He can’t get the legislature to pass his tax cuts – because even they know its crazy. He stifles criticism on his official social media sites. He throws his hat into the ring on social issues that his office will have absolutely no influence over. He gets pulled into the Tony Bennett scandal which has gone international over the past week. He fails to expand medicare or sign up for the healthcare (insurance) exchanges which cost Hoosiers money. His staff decides to lie about how much our insurance rates will go up under Obamacare. He thinks he can strong arm the DHHS into accepting a program that will cost Hoosiers MORE money so he can claim that it’s Obama’s fault. And just recently he created a new position who’s sole purpose is to “analyze” how much money “federal red tape” is costing our state – in which the person doing that job is wasting more tax dollars.
And to think, he’s only seven months into his term. Yikes.
Carlito Brigante says
Has Pence ever done anything but campaign for the next position. I have virtually no recollection of him as an an outstanding law student. I understand he only practice law for a short time and then got a radio show.
He was then elected as a right-wing idealogue from a right-wing district. Finally, elected as governor of a right wing state. Where are the successes? Where are the challenges met. It appears the only victories have been at the voting booth.
Stuart says
He doesn’t understand that the best way to campaign is to be a competent governor. People don’t usually support someone for president whom they know to be an empty suit.
jharp says
Pence’s legislative record is a joke.
As in zero of his bills passed. I am pretty sure.
Not even sure he introduced any bills.
Stuart says
And he’s just started! He must be planning to run for something like “anti-president” in some sort of cyborg world.
Stuart says
Sounds like Mr. Pence is campaigning for a new governor. I hope he succeeds without hurting too many people in the process.
Steve Smith says
With a Gen. Ass. made of of 69% Republicans who got only 54% of the vote, he — and they — can do anything they want. Miracles can happen, as with the Ritz and Bennett race, but seldom do.
David Z says
Experienced field staffers will tell you that miracle’s don’t happen in campaigns. As it’s been said by many – the harder I work, the luckier I get.
Stuart says
I wondered what the percentage was. Bummer. That means we could easily end up with the same distribution they have at the Federal level. Regardless, the governor wins with the popular vote, thankfully not the gerrymandered one.
Mary Strinka says
I still don’t understand how this expansion of Healthy Indiana plan as a substitute for Medicaid expansion is supposed to work? Do they remove the cap on enrollment so that anyone under the income limits is included? Do they remove the requirement of being uninsured for at least 6 months? Just how exactly can they shoehorn this plan into the concept of covering “everyone” at less than 138% of poverty? And has anyone actually done the math to compare the administrative costs associated with “consumer cost-sharing” with the actual savings that such cost-sharing is supposed to produce? Can we see the actual proposal that was submitted by the state to HHS?
mary says
It’s more important what he considers “winning”, sounds like he’s going for it!
jharp says
What I find astonishing about this is no one gives a shit.
Amazing. I’d think even the teabaggers wouldn’t cotton to paying $30 million more in insurance premiums and health care costs just to keep poor people uninsured.
I know the hate runs deep but figured it’d stop when it hit them in the pocketbook.
Doug says
Some are truly about the money. They get all bewildered and defensive when people accuse them of hate. I don’t know that such people fully appreciate that a lot of fellow travelers only care about the money when it becomes relevant to ensuring that “They” don’t get something for nothing.
If “We” are getting something we’re entitled to; the money doesn’t matter. If it’s more expensive to make sure that “They” don’t get something they’re not entitled to, then it’s worth the money.
Carlito Brigante says
Most Americans have no clue of budgetary matters, so it should not suprise us that the “Cost” of certain matters does not register with them. Most Americans think if you eliminate foreign aid, generally nonexistent aid to illegal immigrants and NPR subsidies, the budget would balance.
Stuart says
You mean that the Federal government isn’t just like my budget so I can put it on an Excel sheet and have everything balance? Glenn Beck and I want to bring back the old days!
Stuart says
Important stuff, jharp. Reminds me of what Golda Meir said about the Arab conflict: “Peace will come when the Arabs will love their children more than they hate us.” I’m afraid that applies. Of course, so many Americans have an ahistorical point of view on things, and don’t seem to think there is anything we can learn from others because it’s all about them.