Kentucky governor shares plan for Medicaid overhaul

Gov. Matt Bevin plans to overhaul Kentucky's Medicaid program by imposing monthly premiums of $1 to $15 and creating a credit system, among other amendments, The Lexington Herald-Leader reported. 

The plan — Kentucky Helping to Engage and Achieve Long Term Health — will require recipients to pay $1 to $15 monthly premiums based on their income levels. Premiums would lessen taxpayers' load by $2.2 billion over a five-year period and encourage Medicaid recipients to "take ownership" of their healthcare, the governor said.

The new plan would provide coverage to all non-disabled adults currently on Medicaid, The Lexington Herald-Leader reported. However, pregnant women and children would not be required to pay premiums. Mental health insurance is included as well, but not dental or vision.

No co-payments would be required, however a "lock-out" provision would stop Medicaid coverage for recipients who do not pay their premiums, locking them out until they meet the requirements needed to re-enter the program. Kentucky HEALTH also would act as a transitional program for people to use before seeking coverage under an employer.

Kentucky HEALTH also includes a proposed credit system in which credits can be earned through volunteering in health facilities and completing a health risk survey. Medicaid recipients can turn around and use credits to buy other benefits, like vision and dental insurance.

Gov. Bevin will put forth the plan to the federal government as a waiver application that replaces previous Gov. Steve Beshear's Medicaid expansion initiative, under which 440,000 residents gained insurance, The Lexington Herald-Leader reported. However, Gov. Bevin said he will cease the expansion if the federal government does not approve his new plan, leaving 440,000 of Kentucky's 1.32 million Medicaid recipients unqualified.

Advocate group Save Kentucky Healthcare, led by the former Gov. Beshear, issued a response stating, "Gov. Matt Bevin declared war on Kentucky's working families today by announcing his intentions to take away health benefits, increase costs and institute unwieldy requirements for those families to keep health coverage."

A 30-day comment period regarding the plan commenced Wednesday. Kentucky house speaker Greg Stumbo, the Budget Review Subcommittee on Human Resources and the Task Force on Vulnerable Kentuckians will analyze the plan.

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