An Institute of Medicine study found that working age Americans without health insurance are more likely to receive too little medical care, too late.

Insured children are more likely to get preventive care and vaccinations, helping them to be healthy and ready to learn.

Families will be protected from financial ruin from an unexpected major medical expense.

Why is health insurance so important for parents?
Parents need to remain well and productive so they can effectively raise their children.

A study by the Institute of Medicine found that working age Americans without health insurance are more likely to receive too little medical care and receive it too late; and they are more likely to be sicker and die sooner.

Parents with health coverage are more likely to make sure their children obtain
preventive and wellness services.

Don’t Virginia’s working, low income parents have health insurance?
Many do not. In fact, 44% of working, low-income adults in Virginia are uninsured.

Over 70% of uninsured Virginians are from households where at least one person works full time, but 600,000 of Virginia’s uninsured have incomes below 200% of the federal poverty level ($36,620/ yr for a family of 3) and cannot afford or are not offered coverage.

Very few can use Medicaid as a safety net, because Virginia’s Medicaid program only provides coverage to parents whose countable incomes are at 30% of the federal poverty level (FPL) or lower:

Other than the occasional cost-of-living adjustments, Virginia’s Medicaid eligibility standard for low income parents has not been changed for 20 years.

FPL Annual Countable Income Limit Applies to:
(Family of 3)
30% $5,508 Northern Virginia
25% $4,524 Urban Areas
22% $4,116 Rural Areas

As many as 65,000 uninsured, working Virginia parents have incomes below the federal poverty level.

This is very low. How does it compare to eligibility limits for other state-sponsored
health insurance in Virginia?

The Medicaid eligibility limits for low income parents are far less than the eligibility limits for uninsured children, pregnant women, or aged, blind or disabled Virginians.

How does it compare to the Medicaid eligibility limits in neighboring states?
Virginia’s Medicaid eligibility standard for parents is lower than that of all neighboring states, and ranks 44th in the nation.

Are Virginia’s policymakers aware of these discrepancies, and the adverse impact they have on low income working families and their children?
The following Virginia health policy authorities have recommended raising the Medicaid
eligibility standard for low income parents to 100% FPL :
~ Joint Legislative Audit and Review Commission (2007)
~ Governor’s Commission on Health Care Reform (2007)
~ General Assembly’s Joint Commission on Health Care (2000)

How many parents would such an increase cover? Would it be expensive?
Increasing the Medicaid eligibility rate for parents to 100% FPL would cover about 65,000 more Virginians at an estimated cost of $117 million in state funds. This would be matched dollar for dollar with federal funds.

A portion of these expenditures would be offset by a significant decrease in state indigent care costs and a drop in the amount of uncompensated care needed for Virginia’s uninsured ($538 million reported in 2007).

Each Medicaid dollar spent has a ripple effect of generating $2.18 in economic value.

The combined effect would actually benefit Virginia, both economically and through the well-being of its families.