Lieutenant Governor, Legislators Announce "Delaware Covers All Kids" Health Insurance Legislation

Bill would allow families to buy comprehensive health coverage from Delaware CHIP program for just over $100/child per month

For Immediate Release: April 30, 2009

Lieutenant Governor Matthew Denn, State Senator Patricia Blevins, and State Representative Terry Schooley introduced legislation today that would allow parents with uninsured children to buy health insurance for those children for just over $100/month. The legislation would allow parents to purchase comprehensive health coverage from the state's CHIP program, which is currently only available to families earning less than 200% of the federal poverty level.

The proposed new program, which would not have a fiscal impact on the state, is modeled in part on Pennsylvania's widely praised "We Cover All Kids" program. The goal of the new program is to take another step toward making affordable health insurance coverage available to every child in Delaware.

The coverage for children covered under the "Delaware Covers All Kids" plan would include everything from routine checkups to eye exams to doctor and hospital services. This coverage is currently offered to the children of families below 200% of the federal poverty line, at a premium of between $10 and $25 per month. The new legislation would make it available to the uninsured children of all families, regardless of income, for a premium of just over $100/month per child.

"This bill isn't a cure-all, but it does two important things," said Lieutenant Governor Denn. "First, it takes advantage of the efficiencies of the state's large Medicaid and CHIP programs to make coverage for kids available at a price that will be affordable for at least some families currently lacking insurance-just over $100 per month per child. Second, it will give families an option that they can't currently get from private insurers-the ability to buy coverage just for their kids, if their finances don't currently allow them to buy coverage for the whole family."

Representative Schooley noted that recent statistics indicate that the number of Delaware children without health insurance has continued to increase. "Delaware's statistics for uninsured children have been moving in the wrong direction," Representative Schooley said. "This bill will help us to reverse that trend."

"At a time when the state's finances limit its options with respect to expanding coverage," said Senator Blevins, "our bill is a creative way to expand coverage to currently uninsured children without affecting the state's bottom line. The result of this bill is that more kids will get check-ups and wellness visits, and ultimately be healthier."

The bill permits the Department of Health and Social Services to adjust the premiums, co-pays, and deductibles for the new program on an ongoing basis so that the program is self-sufficient and does not create a new financial obligation to the state. Based on the most recent statistics for the state CHIP program, a premium of $110/month would be sufficient to sustain the new program, assuming that the newly enrolled children have the same health characteristics as the currently enrolled children.

"Nemours Health and Prevention Services is pleased that the Legislature is taking this step to decrease the number of uninsured children in Delaware," said Gwen Angalet, managing director at Nemours Health and Prevention Services, "It is a critical step to help assure that all children have access to health care. Nemours encourages the General Assembly to move in this positive direction in order to make Delaware's children the healthiest in the Nation."