Changes in Virginia’s CHIP Program Could Delay Coverage

Under new rules taking effect this month, children from low-income families are no longer immediately eligible for FAMIS, Virginia's CHIP program, and the changes could delay benefits for one month or more after families apply for coverage, the Norfolk Virginian-Pilot reports. The state "rolled out" a series of program changes designed to make FAMIS "more like private health insurance," such as a provision allowing parents to use state subsidies to pay into employer-sponsored health insurance. One of the changes, however, eliminates the program's presumptive eligibility process, mandating that coverage will not begin until two to six weeks after approval of applications. According to Jill Hanken, a lawyer with the Virginia Poverty Law Center, the changes could be "particularly troublesome" for families with newborn children, because they begin "incurring medical bills in the first days of the babies' lives." The Virginian-Pilot reports that state Sen. William Bolling (R), chair of the state Legislature's Joint Commission on Health Care, is attempting to reverse the new rules and has "vowed" to next year write legislation to "fix" the regulations if the changes are not reconciled. In the meantime, state officials say many families with newborns "who need immediate coverage" may qualify for Medicaid, which does provide immediate benefits. Also, state Health and Human Resources Secretary Louis Rossiter said that the department "might be able to give immediate benefits to some families on a case-by-case basis" but he "couldn't make any promises" (Heyser, Norfolk Virginian-Pilot, 8/11). For further information on state health policy in Virginia, visit State Health Facts Online.