8.3 Medicaid eligibililty
To ensure that youth have access to medical care when they leave foster care, states should take advantage of the federal option that allows extended Medicaid coverage.
Under the federal Chafee Foster Care Independence Act, states have the option to expand Medicaid eligibility to transitioning youth who were in foster care on their 18th birthday, are under age 21, and do not exceed income and asset levels as determined by the state. If states choose to take advantage of this option, their expenditures continue to be matched at their standard federal Medicaid matching rate.
Currently, at least 19 states (Arizona, California, Connecticut, Florida, Indiana, Iowa, Kansas, Mississippi, Nevada, New Jersey, Oklahoma, South Carolina, South Dakota, Texas, Utah, Colorado, Michigan, Georgia and Wyoming) have chosen to expand Medicaid eligibility. For example, Arizona has no income ceiling for foster youth to qualify for Medicaid, and Texas statutes require the state to provide uninterrupted Medicaid coverage to young people who age out of foster care at age 18 through the month of their 21st birthday.
Policy Option:
States can adopt a policy that youth who are in foster care or were in care at age 18 are eligible for Medicaid coverage until age 21, regardless of whether they are receiving extended foster care assistance.