COLUMBUS, Ohio (WKBN) – Governor Kasich recently signed a bill that could require about 1 million low-income Ohio resident’s to pay a new monthly fee for their Medicaid health coverage, or potentially lose it.
Right now Medicaid serves nearly 3 million Ohio residents. If the plan receives federal approval, which it must before going into effect, it would impact one-third of those Medicaid users.
The money from the new fee would go into a health savings account, but Kasich must get a waiver of federal Medicaid rules, which his administration will seek in the months ahead so the state can require those low-income residents to pay into the account.
By using the savings account approach, it replaces Kasich’s previous plan which charges a monthly premium to about 100,000 Medicaid users.
The GOP says the change would encourage “personal responsibility” and make it easier for those on Medicaid to transition to private health insurance if, or when the time comes.
As of now, no states have been given the go-ahead to drop Medicaid enrollees with incomes below federal poverty for not paying monthly fees or contributing to a savings account.
If the government denies the state’s request, Kasich has said they will consider other options.