Certified Application Counselor Practice Test

Which program can children qualify for if their family income falls below the Federal Poverty Level?

1. Medicare

2. Marketplace insurance only

3. Medicaid and CHIP

4. None, only private insurance

The correct answer is: Medicaid and CHIP

Children from families whose incomes fall below the Federal Poverty Level can qualify for Medicaid and the Children's Health Insurance Program (CHIP). These programs are specifically designed to provide health coverage to low-income individuals, including children. Medicaid offers comprehensive health services for those who meet certain income and eligibility criteria, which includes many children in low-income households. CHIP extends coverage to children in families that earn too much to qualify for Medicaid but cannot afford private health insurance. This combination ensures that a significant number of children receive essential health care services. In contrast, while Medicare primarily serves individuals aged 65 and older and those with certain disabilities, it does not cater to children based on family income. The Marketplace insurance may be available, but it often requires higher premiums and is not specifically geared towards low-income families as Medicaid and CHIP are. Lastly, asserting that only private insurance is available ignores the existence of these vital public programs designed to assist families in need.