Despite getting a 6-year extension, CHIP faces a funding cliff, experts warn

FierceHealthcare

By: Paige Minemyer

Though Congress renewed CHIP for six years in a stopgap spending measure, the insurance program that covers more than 9 million kids could still face financial issues down the line.The spending bill, President Donald Trump signed into law earlier this month, would extend the Children’s Health Insurance Program for six years, but experts worry about a “CHIP cliff” that is built into the extension.

Joan Alker, executive director of the Georgetown University Center for Children and Families, told the news outlet that while the gradual decreases will offer time for states to adjust to the changes, she’s concerned that some people may not realize CHIP was extended at all. After CHIP expired in September and Congress spent months kicking the can down the line on a long-term extension, some states issued warnings to CHIP enrollees that they may lose insurance. Alker said that in a number of states, officials worried the program was gone for good. “What we are concerned about is there may have been a chilling effect on enrollment, but we just don’t know,” she told the Examiner.

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