Lawsuit Filed Against State in Case of Lapsed Insurance Approval

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Indiana Legal Services has sued the state of Indiana for neglecting an Ellettsville woman’s health insurance application for six months. While the woman, Regina Malloy, waited to hear back from the state, she racked up thousands of dollars of debt from doctor visits, lab fees, and an MRI. That’s all according to a report in the Herald-Times. Malloy had applied to get coverage through the Healthy Indiana Plan. Federal law requires the state to provide insurance within 6 months of an application.

The newspaper quoted attorney Katherine Wood as saying, “The state is trying to find a loophole to avoid its responsibility. Meanwhile, low-income Hoosiers have been left to pay hefty medical bills — in full — out of their own pocket.”