The Policy Change
Indiana’s Medicaid program is poised for substantial revisions to its Applied Behavior Analysis (ABA) therapy coverage, following recommendations from a state-backed working group. Tasked by Governor Mike Braun, the panel, comprising state leaders and health professionals, focused on developing cost-containment strategies that minimize negative impacts on enrollees. These recommendations come as Indiana grapples with rapidly increasing Medicaid spending on ABA services, which surged from $21 million in 2017 to a peak of $611 million in 2023, before dropping slightly to $445 million in 2024 after previous rate adjustments.
The working group’s proposals supersede earlier attempts to modify ABA coverage. A previous State Plan Amendment under former Governor Eric Holcomb’s administration would have retroactively capped treatment at 30 hours weekly for three years, potentially cutting off half of current recipients. Governor Braun’s administration rescinded this, deeming it
Source: indianacapitalchronicle.com
