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INSURANCE COMMISSIONER: SENATE BUDGET PLAN WILL JEOPARDIZE THE HEALTH CARE OF PA'S CHILDREN
Senate's Proposed Cuts Could Leave 12,000 Children without CHIP Coverage

HARRISBURG - Insurance Commissioner Joel Ario warned today that the Senate Republican budget proposal puts Pennsylvania's most vulnerable citizens at risk and undermines a promise to the children who will lose access to the state Children's Health Insurance Program.

Passed in the Senate along party lines, Senate Bill 850 cuts the budget for the nationally-recognized Children's Health Insurance Program, CHIP, by nearly $8 million. This would require the state to eliminate coverage for almost 12,000 children and would mean leaving approximately $16.7 million in federal funds on the table that could be used to help give children access to much-needed medical care.

"If these cuts remain unaltered, we will be faced with decidedly harsh choices," said Commissioner Ario at news conference in Harrisburg. "We will be turning away many, many children in need of health care, or significantly scaling back the CHIP benefit package - or both.

"With the economy as it is, many children now enrolled in CHIP come to us because their parents have lost their job and benefits. CHIP offers families a safety net to help them through the toughest of times.

"Additionally, parents regularly tell us of the difference CHIP has made in their families' lives. They tell how grateful they are for the peace of mind that comes from knowing their children have access to such great benefits. They tell us their kids are growing up healthy because of CHIP.

"The Governor recognizes the importance in providing access to health care for families that want to insure their children. That's why the Governor's budget proposal wisely includes funding that would allow an additional 24,000 children to enroll in the CHIP program, for a total of 206,000 children," Ario added.

"It's understandable that tough decisions need to be made to balance the budget. The budget proposal presented by the Governor in February already contained painful cuts that were necessary. But no mom or dad should be faced with standing helplessly at the bedside of a sick child because they had nowhere to turn for health insurance."

For more information on CHIP, visit www.chipcoverspakids.com. The Insurance Department's Web site is www.ins.state.pa.us. For details on Governor Rendell's budget proposal, visit www.pa.gov.
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CHIP Media Relations

For media inquiries, or to share a CHIP success story, please contact Rosanne Placey or Melissa Fox at the Pennsylvania Insurance Department Press Office at ra-in-press@state.pa.us. For questions or issues about your CHIP coverage, or to learn more about the program, please call 1-800-986-KIDS.