Tennessee announces plans for Medicaid expansion

Gov. Bill Halsam announced Monday that his state has reached a deal to expand Medicaid under Obamacare.

The Tennessee Republican plans to call a special session in January to address the expansion plan, called “Insure Tennessee.”

“We made the decision in Tennessee nearly two years ago not to expand traditional Medicaid,” Haslam said in a statement. “This is an alternative approach that forges a different path and is a unique Tennessee solution. This plan leverages federal dollars to provide health care coverage to more Tennesseans, to give people a choice in their coverage and to address the cost of health care, better health outcomes and personal responsibility.”

Obamacare offers federal support for states that extend Medicaid coverage for those earning up to 138 percent of the poverty line.

The Tennessee plan will require premium payments for those above the poverty line, with “modest” pharmacy co-pays for everyone, including those below the poverty line.

The plan will use vouchers to help those who are employed, but near the poverty line, access insurance through their employers.

Haslam’s hybrid plan comes in the wake of red states such as Wyoming and Utah expanding coverage by using private insurance principles for federally funded programs.

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