New Jersey Governor Announces Low-Cost Health Coverage For Children In Middle-Income Families
Under the program, families would pay monthly health insurance premiums to Horizon at the same rate paid by those who qualify for FamilyCare, the state's version of SCHIP (Chen, New York Times, 12/20). Families with one child would pay $137 per month, families with two children would pay $274 per month and those with three or more children would pay $411 per month. By comparison, a parent would pay $400 per month per child for coverage under the Small Employer Health Insurance administered through the state Department of Banking and Insurance, according to state Sen. Joseph Vitale (D). The program would not provide health coverage for adults (Livio, Newark Star-Ledger, 12/19).
The program requires that families with more than one child enroll all of their children in the plan. In addition, families must provide proof that their children were uninsured during the previous six months (New York Times, 12/19). Between 50,000 and 60,000 children would be eligible for the program, according to Vitale. A Rutgers University study indicated that about 15,000 children would enroll, according to state Department of Human Services Commissioner Jennifer Velez (Tamari, Gannett/Asbury Park Press, 12/20).
Horizon President and CEO Karen Clark said the company will absorb the cost of the program, which she estimated to be up to $1 million in the first year (New York Times, 12/20). Horizon spokesperson Tom Rubino said, "We've gone into this to work with the state to reduce the number of the uninsured. We're going to be meeting with the state about the progress of the plan, and the ultimate goal is to make it break even" (McCoy, Philadelphia Inquirer, 12/20). Horizon will begin accepting applications in January 2008 (Newark Star-Ledger, 12/19).
According to the Times, the program "sets the stage" for a universal health coverage plan for all state residents that would be phased in over several years, which Corzine and Vitale said could be unveiled as early as next month (New York Times, 12/20).
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