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February, 2009

ShareCMS Should Improve Efforts to Assess Whether SCHIP is Substituting for Private Insurance

In this report, relevant SCHIP annual reports were examined and reviewed to determine the crowd-out.

CMS provided guidance to states regarding activities to minimize crowd-out in SCHIP, and the information it collected was of limited use in assessing whether crowd-out should be a concern. In issuing guidance to states, CMS instituted specific requirements for program designs that the agency identified as being at greater risk of crowd-out, including programs with higher income eligibility thresholds.

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