Smokers to buy health care for uninsured Hoosiers

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Unveiling a new plan for the "have nots" of the society, the Indiana General Assembly on Sunday cleared a new health insurance plan for the working poor, funded by a 44-cent increase in the cigarette tax. The tax will provide insurance cover to over 132,000 uninsured Hoosiers.

Voting unanimously for the Bill 1678, the Senate Rules and Legislative Procedure Committee passed the bill to the Senate and House. While, the House voted 70-29, the Senate voted 37-13 to pass the bill.

The final action took the per-pack cigarette tax in Indiana from 55.5 cents to 99.5 cents, a step closer to the nationwide average of $1.12 per pack.

The plan championed by Rep. Charlie Brown, D-Gary, along with Sen. Patricia L. Miller, R-Indianapolis said, “No one has to pay the tax; all they have to do is quit smoking.”

The 44-cent per-pack increase would raise an estimated $206.7 million a year that would provide insurance to people who make up to 200 percent of the federal poverty level i.e. $20,420 for an individual and $41,300 for a family of four.

While, up to $11 million is slated for child immunizations, the bill also raises the quantum of children and pregnant women who are eligible for Medicaid. As it allows children up to 24 years to stay on the health insurance plans of their parents, the bill crafts a provision to create an insurance pool for small businesses and to provide tax incentives to encourage more employers to offer insurance.

However, the participants would be required to pay about 2 percent to 5 percent of their adjusted gross income as premiums under a sliding scale in which the poorest pay the least.

Co-author of the bill, Sen. Sue Errington, D-Muncie, allude-to the help and support the program will extend to thousands of Hoosiers who are in need of health care. "This will be huge for Indiana," said Errington.

Five other states also have similar programs.