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FOR IMMEDIATE RELEASE
Thursday, Feb. 7, 2002
Contact: CMS Press Office
(202) 690-6145

HHS APPROVES NEVADA PLAN TO PROVIDE HEALTH COVERAGE
TO CHILDREN WHOSE PARENTS LOSE THEIR JOBS


HHS Secretary Tommy G. Thompson today approved Nevada's plan to expand health coverage to an estimated 1,700 children whose parents lose their jobs. Under the plan, Nevada will no longer count a parent's unemployment compensation when determining a child's eligibility for the State Children's Health Insurance Program (SCHIP).

"This innovative approach will mean many Nevada parents facing tough times financially will not also have to worry about their children's health care," Secretary Thompson said. "By giving states like Nevada greater flexibility in the way they provide health care to low-income citizens, the Bush administration is providing greater health care security for American families."

Nevada estimates that the approved change will make an additional 1,700 children eligible for its SCHIP program, which already provides coverage to about 28,000 children. Nevada's program provides coverage to children from families with annual incomes up to 200 percent of the federal poverty level. (For a family of four, children from families with annual incomes of $35,300 would be eligible).

Created in 1997 with bipartisan support in Congress, SCHIP is a state and federal partnership designed to help children without health insurance, many of whom come from working families with incomes too high to qualify for Medicaid but too low to afford private health insurance. The SCHIP law appropriated $40 billion in federal funds over 10 years to improve children's access to health coverage.

Since taking office, Secretary Thompson has worked to improve access to health care through innovative coverage programs in the SCHIP and Medicaid programs. In August 2001, HHS launched the Health Insurance Flexibility and Accountability Demonstration Initiative to make it simpler and easier for states to submit waiver requests and to have those requests promptly considered -- and last month announced "Pharmacy Plus," a similar process to help states seeking to quickly expand access to prescription drug coverage for Medicare beneficiaries and disabled individuals. Since January 2001, HHS has approved waivers and plan amendments that have expanded eligibility to about 1.8 million people and enhanced benefits for about 4.5 million people.

HHS' Centers for Medicare & Medicaid Services (CMS) administers the SCHIP program.

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