S. 2496 — Keep Kids Covered Act

This section revises continuous eligibility requirements for children under Medicaid (Title XIX of the Social Security Act) and the Children's Health Insurance Program (CHIP, Title XXI), which provide health coverage to low-income children and prevent coverage loss due to administrative or minor income changes. (Effective one year after enactment.) Specifically, for deemed newborns, it extends the continuous eligibility period to age 6 years (from 1 year) under both programs, including in CHIP a provision allowing transfer to Medicaid for the remainder of the period if the child becomes eligible for full Medicaid benefits. Under Medicaid, it further (1) requires continuous eligibility for children under age 6 until age 6 or non-residency; (2) extends the continuous eligibility period for children ages 6 through 18 to 24 months (from 12 months); and (3) requires continuous eligibility for former foster youth until age 26 or non-residency. (Thus, states must now offer these periods through their Medicaid state plans or waivers.) It makes conforming changes to CHIP to apply the applicable continuous eligibility period. Additionally, it requires Medicaid and CHIP state plans to include a process to obtain updated contact information at least annually from individuals in continuous eligibility for over 12 months and to inform them of their enrollment status and remaining eligibility duration.

This section revises the applicability dates for the Medicaid coverage continuity requirement for former foster youth up to age 26 (i.e., individuals who aged out of foster care under state responsibility and otherwise qualify for Medicaid). The requirement now applies (A) beginning January 1, 2023, with respect to foster youth who attain 18 years of age on or after that date; and (B) beginning 180 days after enactment of the Keep Kids Covered Act, with respect to foster youth who attained 18 years of age before January 1, 2023.