How the State Children's Health Insurance Program (SCHIP) Works

SCHIP stands for State Children's Health Insurance Program and this has been mentioned in the news a lot lately. What exactly is SCHIP? SCHIP is a Title XXI act of the Social Security Act. This means in the Social Security Bill monies have been put aside to fund SCHIP. Then each State sets up a program that meets certain Federal guidelines in order to receive funding for SCHIP. Each State then is given the power and ability to decide who are eligible, what the benefits will be, and payments for health insurance coverage for children in low income situations. Each State is allotted funds based on the States expenses related to SCHIP

This insurance program allows families who earn too much to qualify for Medicaid to qualify for SCHIP. A lot of low income families make too much to qualify for Medicaid but do not make enough to cover the costs associated with private health insurance. This program is really aimed at the lower to upper middle class; this group of citizens tends to fall in between the cracks. This program helps pay for doctor visits, immunizations, hospitalizations, and emergency room visits. SCHIP is supposed to help gap the lack of health insurance coverage middle class families have compared to upper class citizens. Each State has a Department of Health and Human Services and this is the agency that parents and caregivers who are interested SCHIP can contact.

SCHIP is also supposed to help educate parents/caregivers and help them understand the development of their child and best practices. The have a program called "Healthy Start, Grow Smart" education series. This program has 13 issues/booklets that are handed out to parents and caregivers. There is an issue for each month of a newborns life and really tries to convey easy to read information about nutritional needs, safety, health, and early cognitive development. These booklets are published in English, Spanish, Vietnamese, and Chinese. The Federal Government has published these booklets in other languages as a tool to help reach out to more parents and caregivers.