U.S. Gives $6 Billion in New Child Insurance Funding

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The U.S. government will give $6 billion in new funding to states and territories to maintain existing Children's Health Insurance Program (CHIP) enrollment and expand their programs.

The new funds were made available by the Children's Health Insurance Program Reauthorization Act of 2009, which provides additional funding for CHIP programs.

Of the $6 billion in new funding, more than $1 billion has been released and the remainder is expected to be allocated by the end of September.

"Through CHIPRA, states and territories will receive additional funds to provide health insurance to 11 million children, including 4 million who were previously uninsured. Parents now have more help if their children fall ill," Health and Human Services Secretary Kathleen Sebelius said in a news release.

CHIP provides health insurance for children in working families whose incomes are too low for either employer-sponsored family plans or private plans, but too high for traditional Medicare.