FRANKFORT, Ky. (Oct. 24, 2003) – Some families whose children are covered by the Kentucky Children’s Health Insurance Program (KCHIP) will start paying $20 monthly premiums in November.

            Families whose incomes range from 150 percent to 200 percent of poverty will be required to pay the premiums as part of the Cabinet for Health Services’ cost-containment efforts. (150 percent of the poverty level is $2,301 a month for a family of four; 200 percent is $3,067 a month for a family of four.)

            Bills are being sent to families for the premiums next week week. Payments are due Nov. 5. The $20 amount will be the same regardless of the number of children covered by KCHIP in the family.

             KCHIP currently serves about 51,000 children in Kentucky and spends about $95 million in state and federal funds annually. Children ages birth through 18 are eligible if their families meet the income guidelines. About 19,500 children are in the income group that will pay premiums.

Some 32 states require cost sharing – either with premiums or co-payments or both in their children’s health insurance programs.

Some families in another program covered by Medicaid, Transitional Medical Assistance, will also pay premiums. Beginning in the seventh month of coverage, families will pay $30 a month premiums. An estimated 2,500 families are effected.

The premium, which was allowed for under previous legislation, promotes the responsible use of health care services and helps parents make the transition from welfare to work by demonstrating the value of health care coverage.

For more information, families can call Medicaid member services at 1-800-635-2570. (For the hearing impaired, call 1-800-775-0296. If Spanish language services are needed, call 1-800-662-5397).

                                                            --30--