More working poor qualify for state health insurance

The Hohman family of West Baltimore got their new medical assistance cards Monday by special delivery — hand-carried by Gov. Martin O’Malley and House Health and Government Operations Committee Chairman Peter Hammen, who engineered the passage of the new Maryland law that expanded coverage to them. “Now I can take some burden off my parents,” said Richard Hohman Sr., 34, who works part time in promotions, making less than $10,000 a year. He broke his back a while back, and needs $200 a month in medication for his bipolar disorder. His wife, Joanne, 53, has a degenerative bone disease and asthma that require $150 a month in prescriptions. They are among the first 2,400 people approved for expanded health insurance that state officials hope will cover 100,000 of the estimated 800,000 Maryland residents without medical coverage. The law passed during November’s special session raises the income eligible for Medicaid for a family of three from $7,500 a year — 44th lowest in the nation — to $20,500, 21st in the nation. The new program will cost $153 million this year, nearly half of that covered by federal funds and the rest coming mostly from the doubling of the cigarette tax and savings to hospitals from the reduction in uncompensated care they now provide to people without health insurance. In October, a new $10 million program to aid small businesses kicks in, and in future years, health insurance will expand to cover working poor who do not have children. Health Secretary John Colmers said the Human Resources Department has expedited processing of the new applicants by eliminating the need for an asset test and eliminating face-to-face interviews. Human Resources Secretary Brenda Donald said hundreds more people are applying every day. “They are our neighbors, our families members,” Donald said. AARP sponsored the event to thank O’Malley, House Speaker Michael Busch and the other legislators who helped win passage of the new program, including all seven Republicans on the Health and Government Operations Committee. The $1 billion in uncompensated care — representing $344 a year in additional health premiums for those with insurance — “is the real tax,” said Del. Donald Elliott, a Carroll County Republican on the committee. “This is only the beginning” in tackling the lack of health insurance, he added.