A government-sponsored program that offers low-cost coverage for children from families that do not qualify for Medicaid (Title XXI of the Social Security Act; 42 C.F.R. §§ 457.1, 457.310(b)(2)). CHIP is jointly financed by states and the federal government, with states receiving federal grants to provide coverage assistance. States administer CHIP, subject to federal guidelines. A state may provide CHIP coverage by:

(42 C.F.R. § 457.70.)

In most cases, CHIP coverage is considered minimum essential coverage (MEC) for purposes of the individual mandate under the Affordable Care Act (ACA) (see Practice Note, Employer Mandate Under the ACA: Overview).

In March 2020, the federal government issued guidance for state CHIP and Medicaid agencies in response to the US outbreak of COVID-19, the disease caused by SARS-CoV-2 (2019 Novel Coronavirus) (see Global Coronavirus Toolkit).

For more information regarding CHIP, including the types of benefits that may be covered under the program, see healthcare.gov.