From Covering Kids & Families of Indiana
Throughout the COVID pandemic, a large number of low-income families gained affordable and comprehensive health insurance for their children through Medicaid or the Children’s Health Insurance Program (CHIP). CHIP provides access to high-quality and affordable healthcare when families earn too much to qualify for Medicaid but cannot afford private insurance insurance for their children.
Since its creation, CHIP has contributed to reducing the number of uninsured children by more than 68 percent, shifting U.S. children from an uninsurance rate of nearly 15 percent in 1997 to less than 5 percent in 2016. Along with Medicaid, CHIP has also aided in reducing racial disparities in coverage and access to care, with more than half of children of color using Medicaid and CHIP as their source of health coverage.
Despite its obvious value, CHIP is still the only public insurance program that does not have permanent funding. The program is instead financed through block grants to states that incorporate timelines and funding caps that are subject to regular reauthorization by Congress. The lack of permanent funding creates stress and uncertainty for both state and families each time a reauthorization cycle begins. The lack of funding certainty also stifles state-level program innovation due to the lack of future funding certainty. We had also hoped that if CHIP were permanently funded, there would be an opportunity for state innovation in the program.
Permanently funding CHIP, according to the authors of a PolicyLab brief published in Health Affairs, may also create an opportunity to examine how more families may be able to access the program for their children by increasing eligibility thresholds or through buy-in programs to employers. Current funding for CHIP expires at the end of fiscal year 2027, but advocacy must begin in the very near future to make an impact prior to the next round of congressional reauthorization hearings commencing as soon as 2025. |
|
|
|
Comments