Virginia’s New CHIP Program Expands Income Limits, Revises Application Process

In the third and final part of the Richmond Times-Dispatch series on Virginia's Children's Health Insurance Program, the paper examines the differences between the current program, called the Children's Medical Security Insurance Plan, and the new program, called the Family Access to Medical Insurance Security plan, which the state will implement this summer. The "hallmark" of the new plan is that parents can apply at the Richmond-based "central processing unit" instead of local social services agencies, which state officials have say give "inconsistent" determinations. But some health experts and advocates worry about "how well the central processing unit will coordinate with local social services departments when families are found to qualify for Medicaid," the Times-Dispatch reports. Currently, the state uses one application to determine eligibility for both its CHIP and Medicaid programs. But the central unit will handle only FAMIS enrollment, while Medicaid enrollment will continue to be administered at the local level.

Other Improvements
Among other simplifications, the new application process requires parents to provide less documentation, such as pay stubs and birth certificates, to apply. The state also has created a toll free telephone number that parents can call to apply. The new plan increases the income eligibility limits from 185% of the poverty level to 200% of the poverty level, or $35,300 annually for a family of four. But under the new plan, families making more than 150% of the poverty level will have to pay monthly premiums of between $15 and $45. Parents with children enrolled in the current program pay no fees. The new program also cuts in half the current 12-month waiting period that children must be uninsured before receiving state insurance. State officials see a provision allowing parents to receive FAMIS insurance for their children through their employer as the "biggest incentive" of the new program. Under that provision, employers must agree to participate and pay 40% of the premium cost to cover the child. The state would cover the remaining cost (Adams, Richmond Times-Dispatch, 5/15). Today's Richmond Times-Dispatch also reports on the concerns of parents applying for the program. One parent, Dawn Henderson, suggested that state officials could reduce the program's stigma by not referring to it as a program for the "working poor" (Adams, Richmond Times-Dispatch, 5/15).