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Indiana's SCHIP Expansion

Beginning October 1, Indiana raised the income eligibility for its SCHIP program, Hoosier Healthwise, from 200 percent of the federal poverty level (FPL) to 250 percent of the FPL, about $53,000 for a family of four. Indiana estimates that nearly 10,000 children up to age 19 have become newly eligible, and state officials expect a little more than half will enroll in the first year. Other additions to the plan for children ages 0 to 3 with family income from 200 to 250 of FPL include: year-round eligibility, regardless of changes in a family's income, and the addition of telemedicine as a benefit.

"Thanks to tremendous bipartisan support from the Indiana General Assembly, we are able to continue our commitment to health care in this state," says Family and Social Services Administration Secretary Mitch Roob.

Families newly eligible for Hoosier Healthwise must contribute to the premiums on a sliding scale: those earning between 200 to 225 percent of the FPL pay $42 per month for one child and $53 for two or more children. Families earning 226 to 250 percent pay $53 for one child and $70 for two or more children. As the result of program savings in other areas, the state was able to cover the additional children without new appropriations, beyond the 5 percent annual increase in the amount allotted from general revenues.

Though the Indiana legislature approved a plan last year to extend SCHIP eligibility to 300 percent of the FPL, the Centers for Medicare and Medicaid Services (CMS) denied the extension to those above 250 percent of the FPL under federal rules set forth in August 2007 (see Federal Activity).

This expansion is one component of Indiana's 2007 "Check-Up Plan," which also includes the Healthy Indiana Plan (HIP), a major Medicaid expansion for low-income adults through the creation of health savings accounts. More than 27,000 people have enrolled in HIP; state officials are pleased with the response, particularly among childless adults.

Other components of the Check-Up Plan include: a Medicaid expansion to pregnant women with incomes up to 200 percent of FPL, expanded child immunizations, provider payment increases, tobacco cessation programs and other health initiatives, extension of dependent coverage to age 24, a small business qualified wellness program tax credit, and a tax credit for small employers to establish Section 125 plans.

As of mid-October, state officials do not expect the current economic crisis to affect Indiana's ability to sustain its programs.

For More Information
Contact: Elizabeth Surgener, Deputy Director of Communications and Media, Indiana Family and Social Services Administration, [email protected].

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