Indiana Announces Implementation Details for HIP Work Requirements

Phasing begins in January 2027

INDIANAPOLIS - The Indiana Family and Social Services Administration (FSSA) has released new information regarding upcoming work requirements for certain members of the Healthy Indiana Plan (HIP).

These requirements, which begin phasing in January 1, 2027, apply to eligible HIP members ages 19–64. The policy reflects Indiana’s ongoing commitment to programs that promote personal responsibility, long-term stability, and stronger health outcomes for Hoosiers. 

Governor Mike Braun stated: 

“Hoosiers deserve a system that offers support in challenging times but also requires individuals who are able to contribute to take meaningful responsibility for their own progress. These work requirements uphold that standard by ensuring members actively engage in education, training, and employment opportunities that build long-term independence. This approach strengthens families, fortifies communities, and moves our state forward.” 

Work Requirements Reflect Long Standing Principles of Indiana’s Medicaid System 

Employer sponsored coverage remains the foundation of the U.S. healthcare system, and most Hoosiers receive health insurance through employment. Indiana’s Medicaid program traditionally supports two groups:  

• Individuals unable to participate in the labor force, including children, and people who are aged, blind, or disabled.  
• Able bodied adults who are expected to contribute by participating in work, education, or related activities that support personal and financial stability. 

The Healthy Indiana Plan was created to assist the working poor. That mission continues. Indiana is reaffirming a key expectation: public programs remain sustainable only when paired with personal responsibility. A system that provides care while expecting reasonable effort from those who can contribute is more equitable and more durable. 

Work Requirements Effective January 1, 2027 

Effective January 1, 2027, HIP members who are not exempt must complete 80 hours per month in qualifying activities. These include employment, job training, parttime education, or community service. Members may combine activities to meet the monthly total. 

Early Compliance Required for January Applicants 

Indiana law requires a three-month lookback period.  

• Individuals applying in January 2027 must demonstrate compliance in October, November, and December 2026.  
• Applicants in later months must show compliance for the three consecutive months immediately prior to their application. 

Multiple Options to Meet the Requirement 

Members may fulfill the requirement through:  

• Work, Education, or Service: employment, volunteering, job training, internships, or parttime education may be combined. 
• Income Threshold: earning at least \$580 monthly.  
• HalfTime Education: enrollment at least halftime in an eligible program meets the requirement. 

Exemptions 

Exemptions may apply for pregnancy, caregiving responsibilities, medical frailty, SUD treatment, or recent release from incarceration. Members must keep contact information updated so exemptions can be verified. 

Verification of Compliance 

Compliance reviewed quarterly—starting with available wage/program data. When unverifiable electronically, members will receive a notice requesting documentation. 

Statewide Communication Efforts 

• Notices issued to all HIP members.  
• Explainer videos posted on myfssa.in.gov and YouTube.
• Members encouraged to create a Benefits Portal account for reporting hours, uploading documents, and checking exemptions. 

Town Halls and Webinars 

FSSA will host regional town halls beginning this summer. Additional webinars will provide operational guidance. Information posted at myfssa.in.gov.