The debate continues over the State Children’s Health Insurance Program (SCHIP), but the question remains: How important is the program and its funding? The number of uninsured children in the United States has continued to grow during the last two years. According to Census data, about 8.7 million children are currently uninsured. Approximately 66% of those children would qualify for the SCHIP program.While the states have some discretion at setting income limits for families, more than 90 percent of children currently covered by SCHIPs live in families with an income of less than $41,300 a year. Twenty-three states do have higher income thresholds, and New Jersey’s plan covers children whose families earn more than $61,950.
Even if Congress would vote to simply extend the SCHIP at its current funding levels, approximately 3 million children might lose their coverage during the next five years. According to the Congressional Budget Office, $14 billion is needed for the program just to help it keep up with the continuing increase in medical costs for those children who are currently enrolled.
