Health
Coverage of 700,000 Children Saved
October 5, 2009
On Tuesday, September 22nd, Governor Schwarzenegger signed legislation
(AB1422) that prevents nearly 700,000 children from losing their Healthy
Families health insurance coverage this year. Healthy Families provides
low-cost medial, dental and vision coverage to children from low-income
families who do not qualify for Medi-Cal.
The July 2009 budget cuts left the widely popular Healthy Families
program $194 million short in the largest single cut to kids’ coverage
in the history of the United States. As a result of the cut, a waitlist
was established in July and over 70,000 new children seeking insurance
were put on hold. Additionally, the Managed Risk Medical Insurance Board
(MRMIB), which regulates Healthy Families, was to dis-enroll over
600,000 children (including 32,000 children from Santa Clara County)
beginning November 1st, unless a solution was found. With the looming
threat of H1N1 flu hitting schools this fall, the stakes were even
higher.
With a coordinated advocacy approach from United Ways of California,
combined with the voices of concerned residents, pediatricians, local
children’s health initiatives and children’s advocates statewide, the
legislature and governor listened.
In a bi-partisan win for California children and tax-payers,
AB1422(Bass) passed through the Assembly and Senate in early September
and was signed into law on September 22nd by the Governor.
Specifics about AB1422-Provides $194 million to keep California children enrolled in Healthy
Families though:
• $81.4 million contribution from the First Five Commission
• $14 million in increases in premiums and co-pays for Healthy Families
participants
o Doctor visits and prescription co-pays increase from $5 to $10
o Emergency room visit co-pays increase from $5 to $15
o Premium increases range from an additional $4 to $7 per child per
month beginning November 1st (no premium increase for families under
150% of the federal poverty line)
• $100 million from extending the 2.35% gross premiums tax to Medi-Cal
managed care plans until January 1, 2011, and pulling down federal
matching funds. (The managed care plans were in support of AB1422).
Statistic wise, in Santa Barbara County, the
projected number of children to be covered by Healthy Families in Fiscal
Year 2009-10* (if the Program is fully funded) is 11,160. The
estimated number of who would be denied enrollment in Fiscal Year
2009-10 is 3,774. Estimated number of children who would be
disenrolled from application in 7,968.
*(October 2009 10 – June 2010) |