Press Release: Children’s Campaign calls for federal government to remove ban on a Colorado health coverage policy that supports babies and toddlers

In this release 

• New data on children ages 0-3 in each Congressional district who would be affected by a new federal ban on continuous enrollment policies.  

• New, first-of-its kind report highlighting cost savings, health benefits resulting from continuous enrollment policies during COVID-19 pandemic 

• Information about continuous enrollment in Colorado and the impact of recent federal policy changes.  

DENVER – The Colorado Children’s Campaign is calling on federal policymakers and our congressional delegation to support children’s health and reduce health care costs by allowing Colorado and other states to provide continuous enrollment in public health coverage to babies and toddlers.  

The federal Centers for Medicare and Medicaid Services (CMS) announced this month that states are prohibited from implementing policies that would keep young children enrolled in public health coverage, despite evidence that they save money and promote health. Colorado planned to provide continuous enrollment in Medicaid or Child Health Plan Plus (CHP+), which offer health coverage to children in low-income families, to eligible children under 3, beginning in 2026.   

This will affect almost 144,000 Colorado babies and toddlers who are enrolled in Medicaid or CHP+, potentially increasing state and federal spending for their medical bills and reducing their access to health care.  

The biggest impacts will be felt in Congressional District 8, which includes parts of Adams, Weld, and Larimer County, and District 4, which includes much of the Eastern Plains and parts of the Front Range.  

Source: Center for Improving Value in Health Care (CIVHC)  

Note: Data include children under 3 years old who were enrolled in Medicaid or CHP+ for at least one month in 2024. 

“The federal government is interfering with Colorado’s ability to save taxpayers money while promoting the health of our state’s youngest children,” said Toni Sarge, the Director of Health Policy at the Colorado Children’s Campaign.  

“Health insurance is extremely expensive and is expected to get significantly more expensive next year because of the spending bill Congress passed this summer,” Sarge said. “The earliest years of a child’s life are often the years when a family’s economic stability is most tenuous and a parent is least able to spend thousands of dollars each year on coverage – let alone on medical bills. Continuous enrollment would help kids stay healthy and help their families – and the state – stay afloat financially.” 

The Colorado Children’s Campaign calls on CMS to support states’ ability to introduce similar policies that support kids’ health. The Campaign also supports new efforts in Congress to provide continuous health coverage to low-income children. 

New Evidence of Continuous Enrollments’ Benefits for Health, Costs 

This announcement comes as the Colorado Children’s Campaign is releasing new evidence of the benefits of continuous enrollment policies for health and health care costs. The report, “The Impact of Continuous Medicaid and CHP+ Enrollment on Children in Colorado,” was produced by the Center for Improving Value in Health Care (CIVHC) on behalf of the Colorado Children’s Campaign, with the support of the Health Equity Fund, an initiative of The Colorado Health Foundation dedicated to advancing health equity across Colorado. 

Researchers from CIVHC used real Coloradans’ health records to examine for the first time the health and financial implications of continuous enrollment policies, with a focus on children ages 3 and under.  

Researchers found that when children kept health coverage consistently in the early years of the COVID-19 pandemic, families and the government spent less money on their health care and children were more likely to see a doctor for preventive care and less likely to be hospitalized.  

The report’s findings include: 

Continuous enrollment policies during the pandemic saved Colorado families and taxpayers money   

• In 2022, average total medical bills were 3.2 times higher for children under 3 without continuous coverage than for children with continuous coverage 

• In 2024, the families of children under 3 without continuous coverage spent an average of $2,000 more on medical bills than the families of children with continuous coverage 

• Colorado could have saved up to $63 million in state, federal, and family spending in 2023 by giving all young kids continuous coverage 

Continuous enrollment kept Colorado kids healthier and helped them get care in the right place at enrollment right time. 

• In 2024, kids with continuous coverage were 1.5 times more likely to see a primary care doctor. 

• In 2022, kids without continuous coverage were 7.5 times more likely to be hospitalized – which can be evidence that children did not get needed preventive care in a more appropriate setting when they needed it or that they lack a health care home. 

• In 2022, kids without continuous coverage were 4.5 more likely to be readmitted to the hospital within 30 days. 

“During the pandemic, continuous enrollment worked – helping children get well-child visits when they need them, reducing hospitalizations, cutting families’ medical costs, and saving the state money,” Sarge said. “States should be able to learn from this successful policy. CMS’s new rule is a step backwards for efficiency and, most importantly, for children’s health.” 

Policy Context 

From 2020 until the end of 2023 or the beginning of 2024, people who were enrolled in public health programs like Medicaid or CHP+ could maintain health coverage without having to constantly submit paperwork to prove their eligibility, regardless of changes in income or family circumstances. This temporary federal policy change, known as continuous enrollment, was intended to support people’s access to health care during the COVID-19 pandemic. 

In 2023, Colorado’s legislature passed a law that built on the results of this successful policy. Babies and toddlers who have been enrolled in Medicaid would keep health coverage continuously before the age of three, beginning in 2026. The goal of this policy is to improve children’s health outcomes and reduce the administrative burden on families and the state.