An increase in Medicaid services and a decline in the private insurance market in rural Kentucky has hit rural hospitals hard, according to State Auditor Adam Edelen.

More than two-thirds of Kentucky’s rural hospitals are below the national average on a financial strength rating system, and more than one-third are considered to be in poor financial health, according to a report released Monday.

Governor Bill Haslam is unsure of his next steps after fellow Republicans swiftly defeated his Insure Tennessee proposal in the Legislature this week.

Speaking to reporters after the measure was defeated in the Senate Health Committee on Wednesday, the governor said: "I don't know what the next step looks like."

Haslam was seeking authorization from lawmakers to proceed with an agreement with the federal government to extend coverage to 280,000 low-income Tennesseans.

While the governor had the strong support of hospital and doctors associations and the state Chamber of Commerce, many Republicans remained unwilling to cast their votes in favor of a program funded through President Barack Obama's health care law.

Under the two-year pilot program, Tennessee stood to gain $2.8 billion in federal Medicaid money.

Haslam Convenes Special Session on ACA

Feb 3, 2015

Republican Gov. Bill Haslam says his proposal to extend health coverage to 280,000 low-income Tennesseans is needed to improve lives.

Haslam told lawmakers Monday night it's also needed to fix what Haslam calls a "broken health care system."

Haslam's plan calls on state hospitals to pay the $74 million state share to draw down $2.8 billion dollars in federal Medicaid money to offer coverage to more uninsured Tennesseans.

Indiana has gained approval from the federal government to use an updated version of the state’s Health Indiana Plan, or HIP, instead of Medicaid.

The updated version will be called HIP 2.0, and it will provide health care to 350,000 uninsured Indiana residents.

Indiana Gov. Mike Pence and the Centers for Medicare and Medicaid Services announced the expansion Tuesday.

Gov. Haslam Reaches Medicaid Deal in Tennessee

Dec 15, 2014

Gov. Bill Haslam announced Monday that he has reached a deal with federal officials to expand Medicaid in Tennessee after months of discussions.

The Republican's administration is touting it as an alternative deal with federal officials. The program, dubbed Insure Tennessee, would provide coverage for the state's uninsured without creating new taxes for Tennesseans.

Haslam announced at a news conference at the state Capitol that the state would offer a voucher to purchase insurance in the private market, according to statement from the governor's office and a news conference.

Health care advocates had heavily criticized the Republican governor for refusing last year to agree to $1.4 billion in federal funds to cover about 180,000 uninsured Tennesseans under the terms the money was offered.

Some students headed to college this fall will get top-drawer health coverage at little or no cost.

How? Medicaid, it turns out, will pay the premium for the student health plan.

Proponents say students who are eligible for Medicaid, the health insurance program for low-income people, get access to a wider network of doctors and hospitals by getting coverage through the college health plans. These broad networks can be an important consideration for students who travel for internships, international study or who return to homes far from school during the summer.

Beshear to Hold News Briefing Tuesday on Health Reforms

Sep 10, 2013

Gov. Steve Beshear has scheduled a news briefing Tuesday afternoon to provide an update on efforts to implement federal health care reforms in Kentucky.

The event is set for 1 p.m. EDT at the Capitol.

Beshear has been an advocate for the reforms that he says will provide access to medical care to more than 600,000 uninsured Kentucky residents. Nearly half of those will be added to the state's Medicaid program. The remainder, he said, will be able to get insurance through an online health benefits exchange.

Joining Beshear for the briefing will be Health and Family Services Secretary Audrey Tayse Haynes, Kentucky Health Benefit Exchange Executive Director Carrie Banahan and Kentucky Department of Insurance Commissioner Sharon Clark.

Kentucky is one of six states along with Puerto Rico that will participate in a program to help drive down medical costs by targeting frequent healthcare system users.

Staff from the National Governors Association and other experts will help train officials from participating states to develop a plan for super-utilizers. These are patients who may benefit from less costly, more appropriate treatment elsewhere.

Dr. Stephanie Mayfield is commissioner of Kentucky’s Department of Public Health. She says the commonwealth will focus on frequent emergency room users. Last year, thousands of Medicaid patients used the ER 10 times or more.

“What we’re hoping the plan will be is that emergency rooms are there strictly to be used as emergency rooms and that we develop a plan so that they’re not de facto primary care centers any longer," says Mayfield.

The training academy will help participating states develop plans around healthcare policy. The program will run for a year and begins in August.

Despite an ongoing lawsuit challenging its existence, the Kentucky Health Insurance exchange will start a new advertising campaign next month.

The exchange will work like an online marketplace, and consumers will be able to choose between plans offered by several different insurers, as well as government programs like Medicaid and Medicare.

To get the word out to individuals and businesses, the exchange will start running TV, radio and magazine ads in mid-June. The ads are expected to cost up to 11 million dollars.

Policies will be available for purchase in October, but won't go into effect until next January.

Tea party activist David Adams is currently suing Governor Steve Beshear over his creation of the exchange.

The planned expansion of Kentucky's Medicaid program coupled with a push to help the uninsured obtain health coverage could exacerbate the state's shortage of physicians, according to a report released Wednesday.

Deloitte Consulting, a technology firm that's helping to set up the Kentucky Health Benefit Exchange, unveiled the report showing Kentucky's 10,475 primary care physicians and specialists are far short of the actual need.

However, the firm concluded that Kentucky would need to find ways to increase the number of doctors and other medical professionals even if it didn't expand medical coverage to more than 600,000 new patients.