HIP 2.0 Update Members Transitioning from Other Coverage
January 27, 2015
HIP 2.0 Update – Members Transitioning from Other Coverage
Healthy Indiana Plan stakeholder,
This update includes important information about members who will be transitioning to HIP 2.0 from other health care programs. This is happening very quickly for current HIP, some Hoosier Healthwise members and family planning services only members, as their HIP 2.0 eligibility is effective as early as February 1. There is a page on our website that has been set up to explain what will happen in the case of each of these member groups as well as links to examples of the notices they are receiving this week. You are encouraged to click here to review and become familiar with this information.
Important information about Marketplace members
We primarily want to call special attention to another group of Hoosiers and ask for your help in outreaching to and educating these individuals – these are people who have incomes between 100 and 138 percent of the federal poverty level and are enrolled in federally subsidized Health Insurance Marketplace plans.
According to the Affordable Care Act, when someone becomes eligible for a health coverage program offered by their state (like HIP), he or she is no longer eligible for federal tax credits or cost sharing reductions that help make plans purchased on the Health Insurance Marketplace affordable.
We are working with the Health Insurance Marketplace, and they are providing us names of these individuals. The state is sending notices to these Hoosiers to help ensure they understand that they are likely now eligible for health insurance through Indiana’s HIP Plus program. These letters will stress that they need to take immediate action to avoid a potential tax penalty. Otherwise, the Health Insurance Marketplace will not terminate their existing policies, and they may have to pay back their tax credits when they file their 2015 taxes.
The HIP 2.0 managed care companies also offer plans on the Marketplace and are partnering with us to conduct outreach to individuals in this income range that are enrolled in their Marketplace plans. An estimated 70 percent of Marketplace enrollees impacted are enrolled with the HIP health plans, and these plans will help with their transition, but we need your help to ensure that the other 30 percent are able to move to HIP as soon as possible.
We have consulted with the Marketplace and have been advised to send Marketplace members the following instructions and urge them to take action to see if they qualify for HIP Plus:
· To guarantee that you can access HIP Plus benefits, you need to update your account on the federal Marketplace. If you are eligible for HIP and continue to receive reduced cost coverage on the federal Marketplace, you will face a tax penalty in 2016.
· To avoid a tax penalty, you must update your Marketplace account:
o On or after February 1, go to www.healthcare.gov and log in to your account or call the Health Insurance Marketplace call center at 1-800-318-2596 and ask them to update your account for you.
o Selectyour existing application, choose "Report a life change" from the menu on the left and then click on the "Report a life change" button.Review and update your application information, then save and submit – even if there are no changes.
o You must take these actions even if you have already updated your Marketplace account this year if you want to avoid a possible tax penalty.
· Once you have completed these steps, you will get a notice from the Marketplace that your information is being sent to Indiana Health Coverage Programs. This means that you are being considered for eligibility for the HIP Plus program. If you do not receive this notice within two weeks of updating your information on the Marketplace, it is important to follow up with the Marketplace at the number above to ensure your reapplication for coverage has been received and you are not at risk for a tax penalty.
If confirmed to be eligible for HIP, members will also receive official system-generated documents about their enrollment in HIP 2.0.
Attached is a sample notice being sent to these members. This notice is also available on the webpage mentioned above.
We will continue to monitor the progress of the transition of these members over the coming weeks and will send further communication as needed.
Thank you for your support and collaboration. Questions should be directed to .