CHIP Renewal Would Cost Less Than Expected
Health Care

CHIP Renewal Would Cost Less Than Expected

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The Congressional Budget Office said Friday that the cost of extending the Children’s Health Insurance Program would be $800 million over five years, far less than the $8.3 billion cited previously. Funding for the program, which covers about 9 million children, has been in limbo since the fall. Vox’s Sarah Kliff offered an explanation for the surprising turn of events: “The mechanics are wonky, but this is the gist: Repealing the mandate increases ACA premiums; because ACA coverage is the alternative to CHIP for many kids, it would cost the federal government more if CHIP were to end and those children moved to the ACA markets. That makes extending CHIP cheaper, from the government's point of view.” 

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