SCHIP Basics

The State Children's Health Insurance Program (SCHIP for short) is a federal program that provides states with block grant funding to offer affordable health coverage to children whose parents cannot obtain family coverage at work. The names and policies of these state programs vary by state, but they all receive the majority of their funding from the federal government (click here for a list of state SCHIP programs).

SCHIP is a lifeline for 6 million children who would otherwise lack health coverage. The program provides parents with the choice of affordable coverage for their children. SCHIP and the much broader Medicaid program, which serves 25 million children, are important pieces of our health care infrastructure in every community in the United States. These federal-state partnerships help keep families and communities healthy, while saving money from costly emergency room visits for the uninsured.

SCHIP was created in 1997 and ends on September 30, 2007. While Congress is certain to renew this highly successful bipartisan program, here is not enough funding in the federal budget to keep the SCHIP program going. The Bush Administration has estimated that 1.5 million children could lose health coverage if Congress does not add new funding to the program. Many states are moving to expand coverage and reach out to children who are eligible but unenrolled. These state efforts cannot succeed unless Congress expands SCHIP by adding $40-50 billion in new funding to the budget over five years.

For more resources about SCHIP visit www.ccf.georgetown.edu.