Kentucky's proposed Medicaid reform includes a cash incentive for recipients to exit the government healthcare program and join commercial health plans, reports The Heartland Institute.
Under Gov. Matt Bevin's proposed Medicaid expansion plan, Kentucky HEALTH, beneficiaries would use an account fully funded and provided by the state to pay for the first $1,000 of their healthcare expenses.
At the end of each year, the state would transfer half of any unused deductible balance up to $500 to a recipient's My Awards account. Members have the option of earning the full amount of the account in cash by exiting Medicaid and joining a commercial plan for at least 18 months.
Amanda Stamper, Gov. Bevin's press secretary, said the proposal motivates recipients to become more self-sufficient and less dependent on the state, according to the article.
CMS has yet to approve Kentucky HEALTH.