AHCCCS implements continuous coverage for children

BULLHEAD CITY — Arizona Health Care Cost Containment System recently implemented continuous coverage for children who are eligible for Medicaid, including those enrolled in KidsCare.

KidsCare is the Children's Health Insurance Program (CHIP) in Arizona, which provides subsidized health insurance to the children of families who earn too much to qualify for AHCCCS. Traditional AHCCCS covers families earning up to 138% of the poverty level — about $36,000 for a family of three.

"Continuous coverage will ensure that eligible children receive the preventive and necessary care they need to stay healthy and relieve families of worry over changes in eligibility," said Carmen Heredia, AHCCCS cabinet executive officer. "This policy helps advance Governor Hobbs' goal of reducing those uninsured in Arizona and sets a foundation of wellness for the children we serve."

The new process of continuous coverage ensures 12 months of health care coverage even if they no longer qualify for Medicaid during the 12-month period before the child's annual renewal date. Since the implementation of the program, AHCCCS has continued coverage for more than 155,000 children under the age of 19.

AHCCCS and KidsCare provide health insurance for nearly 900,000 children, covering routine preventive care, vaccinations, behavioral health, developmental screenings and vision and dental services.

During the COVID-19 public heath emergency, states received increased federal Medicaid matching rates in exchange for a commitment to maintain continuous coverage for those enrolled in Medicaid.

The end of the public health emergency in 2023 and the return to regular renewal requirements resulted in 103,000 fewer Arizona children enrolled in AHCCCS, according to a report from Georgetown University Center for Children and Families.

In 2023, the Arizona Legislature passed, and Governor Hobbs signed, a bill to increase the income limit for KidsCare eligibility to 225% of the federal poverty level. That translates to $58,895 in annual income for a family of three and $70,200 for a family of four, with higher levels for larger families.

In February, AHCCCS received federal approval to make the change permanent.

At the time, January Contreras, chief executive officer of the Children's Action Alliance told Capitol Media Services, "This is a win for 10,000 kids and teens in Arizona who can now see a doctor when they have asthma, who can see a nurse when they are not feeling well, or a dentist when they have a toothache."

With this approval, AHCCCS officials say Arizona has become the first state in the nation to expand CHIP financial eligibility through its federal five-year 1115 Waiver approval process.

Families can see if they are eligible by applying online at Health-e-Arizona Plus or by calling 1-855-432-7587 for assistance.