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2012 Texas Medicaid Provider Procedures Manual

Volume 1, General Information : Section 4: Client Eligibility : 4.14 Health Insurance Premium Payment (HIPP) Program

4.14 Health Insurance Premium Payment (HIPP) Program
The HIPP Program reimburses for the cost of medical insurance premiums. A Medicaid client is eligible for the HIPP Program when Medicaid finds it more cost effective to reimburse a Medicaid client’s group health insurance premiums than to reimburse his or her medical bills directly through Medicaid.
By ensuring access to employer sponsored health insurance, individuals who are eligible for the HIPP Program may receive services that are not normally covered through Medicaid. Also, members of the family who are not eligible for Medicaid may be eligible for the HIPP Program.
Providers can benefit from this program by helping the uninsured population, saving money for the state of Texas, and receiving a higher payment from the group health insurance carrier. Providers can increase HIPP Program enrollment by displaying brochures to educate their Medicaid clients about the program.
For more information, call the TMHP-HIPP Program at 1‑800-440-0493 or visit

Texas Medicaid & Healthcare Partnership
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