Indiana Awards HP $220 Million Medicaid Contract

HP to Implement interChange Medicaid System to Provide Indiana Flexibility to Tackle Healthcare Evolution

PALO ALTO, CA--(Marketwired - Jun 5, 2013) - HP Enterprise Services today announced that the Indiana Department of Administration, on behalf of the state's Family and Social Services Administration, has signed a $220 million contract for HP (NYSE: HPQ) to continue its 20-year relationship as the state's Medicaid fiscal agent.

The six-and-a-half-year agreement includes construction and implementation of the new Indiana interChange Medicaid Management Information System, also called Core MMIS. It also involves moving users into the new system, as well as four years of service delivery and maintenance. In addition, the agreement contains two one-year options that are not included in the contract value. 

"Like all states, Indiana is facing the need to contain costs and focus on quality of care at a time of significant regulatory change," said Patricia Casanova, director, Medicaid, Indiana Family and Social Services. "HP has delivered quality solutions with consistent service excellence for 20 years. The new Indiana interChange system will help us efficiently deliver improved healthcare to our members and provide the flexibility we need to implement our programs for another two decades."

The Core MMIS for Indiana is designed to enable quick implementation of changes as state and federal healthcare policies evolve. Healthcare providers will be able to enroll online and receive real-time claims adjudication, permitting on-the-spot resolution. The solution also includes a member portal providing immediate access to information that aids in health-related decisions.

The new system will interface with the award-winning Medical Assistance Provider Incentive Repository (MAPIR) application. Indiana, one of the states that collaborated with HP to develop MAPIR, will use the web-based application to confirm provider eligibility and track incentive payments. This helps eligible Medicaid providers adopt electronic health record technology. HP earned the National Governors Association's Public-Private Partnership award for its collaboration with 13 states to develop MAPIR.

The Core MMIS also will interface with strategic vendors, serving as the central hub for the state's pharmacy benefits management and data warehousing, as HP assists Indiana in realizing its vision of an integrated enterprise Medicaid system.

As Indiana's fiscal agent, HP will continue providing claims processing and resolution, mailroom support, and reporting, as well as provider services including enrollment, education and call center services. Once the Core MMIS is fully implemented, HP will maintain the system and provide infrastructure support.

Last year, HP processed more than 85 million Indiana healthcare claims worth about $5.8 billion for nearly 46,000 healthcare providers who treat approximately 1.2 million Medicaid recipients. HP call centers also fielded approximately 500,000 benefits, provider and pharmacy calls over the past year.

"Indiana needs the flexibility and speed to address future challenges, such as regulatory changes and membership growth, with additional self-service options and no service interruptions," said Susan Arthur, vice president, U.S. Health and Life Sciences Industry, HP Enterprise Services. "The HP team will implement a new robust system while continuing to deliver the support that enables Indiana to provide for those in need while remaining fiscally responsible."

HP is the nation's largest provider of Medicaid and Medicare process management services, administering $140 billion in benefits a year. It serves as the fiscal agent or principal IT provider for Medicaid in 20 states. HP's U.S. health care experience spans payer, government and life science communities.

HP's premier Americas client event, HP Discover, takes place June 11-13 in Las Vegas.

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