Federal ruling against Healthy Indiana Plan potentially jeopardizes program

In a June 27 ruling, a federal judge struck down the approval for Indiana’s Healthy Indiana Plan — which could unravel the whole program. (Photo from IN.gov)

A program providing hundreds of thousands of Hoosiers health insurance could be in jeopardy after a Washington D.C. judge on Thursday vacated a federal approval for the Healthy Indiana Plan (HIP).

Chief Judge James E. Boasberg, of the U.S. District Court for the District of Columbia, found fault with the U.S. Department of Health and Human Services’ (HHS) 2020 approval of various aspects of HIP 2.0 — including POWER Accounts and the lack of retroactive coverage.

Former Gov. Mitch Daniels first introduced the consumer-driven, cost-sharing approach in 2007 when the state expanded Medicaid to moderate income workers. Gov. Mike Pence developed the program even further.

The full extent of the ruling was unclear Thursday night and a spokesperson with the Family and Social Services Administration (FSSA) said the agency was reviewing the ruling.

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