1. Utah: Uninsured Kids Cost the State More; CHIP Less Pricey in the End New Study Says It may cost millions to provide government health insurance to poor children, but it's more expensive not to cover them, a new study asserts. In fact, the lack of insurance costs society an annual $2,121 more in health care costs per child, it found. Published in this month's Pediatrics journal, the research showed that cutting back on subsidized health insurance programs forces poor children to bypass doctors' offices for more expensive emergency room care and leads to longer hospital stays. While the findings are based on children in Arizona, the results apply to Utah, said Richard Butler, the Brigham Young University professor of economics who co-authored the report. "It turns out [restricting health insurance coverage] is a false savings. The total cost to society increases when they're disenrolled," Butler said. Those in the health care industry have generally known that poor, uninsured children are more likely to go to an emergency room where they can't be turned away for lack of coverage and that they tend to stay in hospitals longer because their conditions are worse by the time they see a doctor. Butler said his study, co-authored with Arizona State University researchers, quantifies the shift in treatment and the actual costs. David Sundwall, executive director of the Utah Department of Health, said the research should help him persuade the state Legislature to put more money toward the Children's Health Insurance Program (CHIP), which provides poor children coverage through federal and state subsidies. He said Gov. Jon Huntsman Jr.'s goal is to cover all Utahns who do not have insurance, starting with children. "There's that general impression there is misuse of emergency rooms. Those generalities could be buttressed by the study," Sundwall said. "That's great information." No additional children have been able to enroll in CHIP since September because the Legislature hadn't provided the needed funds until earlier this year, when it allocated an additional $4 million. That will enroll up to 12,000 more children, starting in July. Sundwall expects to ask for around $4 million more for CHIP, though the number could change since the ranks of the uninsured have soared, shocking even his office. The number of uninsured children rose by 18,000, or 26 percent, from 2005 to 2006. Knowing that those uninsured children create $2,121 more in health care costs "confirms what we've already known," Sundwall added. "We're paying for these uninsured all along. It's just cost shifting." "It isn't cost-effective to have uninsured among us." Society pays the price, Butler noted. "We pay it through higher taxes. Most of those costs come out of federal subsidies to hospitals. If it's a for-profit hospital, it comes out of some of the shareholder value." The researchers tracked health care transactions of 43,000 uninsured children and 169,000 children with Medicaid or CHIP coverage in the Phoenix area in 2004. The study quantified how much more often the uninsured visited hospitals, and the longer period of their stays. It also calculated the costs of such visits. Researchers wanted to know what happens when such poor children become uninsured, because many states make changes to their subsidized health insurance programs that reduce the number of insured residents. Those changes range from increasing premiums to capping enrollment, as Utah has done. Karen Crompton, executive director of Voices for Utah Children, has estimated that Utah's CHIP has been closed to enrollment almost half the time since it was established in 1998. At the same time, the state has had millions of dollars - $38.8 million as of September - in unspent federal dollars for CHIP. She said it costs the state $25 a month per child for CHIP coverage. "While solving the total health-care-system problem in our state and our country may be very complex and difficult, covering kids is pretty simple," she said. [Heather May, Salt Lake Tribune, 05/07/2007] 2. Pennsylvania: Children's Health Insurance Program Hits Highest-Ever Enrollment Pennsylvania Children's Health Insurance Program has reached an unprecedented enrollment of 158,874 in May. This number includes the new families who have been able to enroll under the Cover All Kids expansion of CHIP. "Since this time last year, we have enrolled nearly 17,000 more children into CHIP, which means more Pennsylvania families can have peace of mind that they have insurance for their kids," Governor Rendell said. "April was the first month for enrollments after we expanded income eligibility as part of my Cover All Kids initiative. That means more than 1,000 children joined the CHIP family who would not have been eligible before the expansion. "Most importantly, CHIP enrollment increased from April to May by almost 2,800 children. This reflects the largest monthly increase since September 1998, with interest in the program continuing to grow by leaps and bounds. CHIP's web site had more than 2.2 million 'hits' last month and CHIP helpline calls have increased 80 percent since last year at this time. "Parents regularly tell us of the difference CHIP has made in their families' lives. Now, it's time to build on CHIP's success story and expand access to health care for everyone through Cover All Pennsylvanians program for adults that is part of my Prescription for Pennsylvania health care reform plan." Cover All Kids was designed to expand health insurance to thousands of uninsured children--those whose parents earned too much to qualify for CHIP under the prior guidelines. CHIP, which is administered by the Pennsylvania Insurance Department, now offers coverage to all uninsured children who are not eligible for Medical Assistance, regardless of family income. Many families will get CHIP for free, others at low-cost. The approximate, average monthly cost for parents is based on a sliding scale: -- $0 a month per child for a family earning less then 200 percent of Federal Poverty Limits (FPL) -- $38 a month per child for a family earning 200 percent-250 percent of FPL -- $53 a month per child for a family earning 250 percent-275 percent of FPL -- $60 a month per child for a family earning 275 percent-300 percent of FPL -- $150 a month per child for a family earning above 300 percent of FPL Families whose incomes fall in the low-cost and at-cost (but not free) CHIP categories must also show that their child has not had private health insurance for the last six months, unless the child is two years of age or less; the child has lost coverage because a parent lost a job; or the child is moving from another public insurance program. This additional requirement does not apply to children whose family income falls in free CHIP income ranges. 3. Children's Defense Fund Announces Presidential Candidate: Candidate to Run One Issue Campaign--Health Insurance for All Children Earlier today, another candidate joined the ranks of those seeking the office of President of the United States. The candidate has a platform focused on one issue--health insurance for all children. The candidate is ten-year-old Susie Flynn. There are more than nine million children in the United States who are currently without health insurance, and the Children's Defense Fund (CDF) believes that some of our elected officials are not doing enough to solve the problem. As a result, CDF today announced the launch of "Elect Susie," to build awareness of this crisis and of CDF's proposal to provide all children in America with health insurance. "Elect Susie" is a fictional presidential political campaign featuring "Susie Flynn," a 10-year-old girl who intends to make everyone in America aware of this issue so that it will no longer be ignored. Susie is also delivering an ultimatum: Find a solution now or she will take matters into her own hands by running for President. Visit Susie's campaign web site to learn: * More about Susie's campaign and how you can support it; * Get involved; * Get the facts about the more than nine million uninsured children in the U.S.; * Read real stories of children living without health insurance watch Susie's campaign ads; and * View photos of her on the campaign trail.