Those covered under the Healthy Indiana Plan will receive coverage four more months because of troubles with enrollment under the federal exchanges.
Indiana has declined to expand Medicaid, but state officials say they still could expand coverage through the Healthy Indiana Plan.
Medicaid expansion advocacy groups rallied at the Statehouse yesterday to appeal to legislators returning for Organization Day to expand Medicaid in Indiana.
The governor says his administration is still in talks with the federal government over whether Indiana can use the Healthy Indiana Plan to expand Medicaid.
Federal and state officials are negotiating whether Indiana can expand health care coverage using its Medicaid alternative, the Healthy Indiana Plan.
The federal government has extended Indiana's pilot health insurance program for another year, while the state looks for other ways to expand health care.
Some legislators say they worry Indiana will miss out on the first year of federal funding for healthcare expansion.
The state wants to continue using the Healthy Indiana Plan, or HIP, as its health insurance program for low-income Hoosiers not covered by Medicaid.
The bill directs the state to continue negotiations with the federal government, seeking a way to compromise on Medicaid expansion.
Rep. Ed DeLaney's proposal would have expanded Medicaid if the federal government did not approve the state's request to use the Healthy Indiana Plan.