Children currently receiving Children’s Health Insurance Program (CHIP) benefits in Pennsylvania will have the option of remaining in the program for one more year.
This comes as a result of negotiations between state officials and the U.S. Department of Health and Human Services.
Under the Affordable Care Act, children eligible for CHIP benefits who previously did not qualify for Medicaid now do qualify for Medicaid and the federal government expected states to fold these CHIP participants into their Medicaid programs.  Pennsylvania officials, however, argued that CHIP participants often had a broader choice of providers than Medicaid recipients and that taking those children out of CHIP would damage the continuity of care they were receiving.
State and federal officials negotiated this issue for months until this week, when federal officials announced that Pennsylvania children in families whose income is between 100 percent and 133 percent of the federal poverty level can choose whether to remain in CHIP or move to the state’s Medicaid program.  That choice ends at the close of 2014, when these participants will be enrolled in Medicaid.
CHIP insurers will mail information about this option to the 30,000 affected families.
To learn more about this issue and how it might affect care for low-income children, see this news release from the Pennsylvania Insurance Department.