The state of Michigan used to be number 1 at health insurance coverage for children but we have slipped to number 6 and are continuing to fall behind other states.  Today, it was reported by the Gongwer in Michigan that nearly 3,000 less children received health coverage through MI-Child (also known as Children’s Health Insurance Program or CHIP) during the month of June compared to April of 2010.  This amounts to around a 4% drop in MI-Child numbers and a corresponding 8.7% increase in the numbers of children in Medicaid for the same period.  It is believed that many parents, who used to qualify for the higher income bracket of 185% of the federal poverty level (about $40,000 a year for a family of four) in order for their children to be eligible for MI-Child, are either no longer employed or are under employed.  Thus, parents are switching their children to Medicaid, a program for those who are poor with an income level of up to 150% of the federal poverty level.

I am very worried about the possible demise of thousands, even hundreds of thousands of children in Michigan if the enhanced rate for Medicaid known as FMAP (an estimated $514 million) does not come through from the Federal Government because it is likely that many services, including health services particularly those for poor and vulnerable children may either be eliminated or experience dramatic budget cuts.

The main provisions of the new Federal Healthcare Reform legislation do not come into effect until 2014 which is 3.5 years from now.  What are parents in Michigan of young children supposed to do in the meantime especially if their children are eligible for either MI-Child or Medicaid but they are unenrolled in either program?