Proposed Fund Would Cover Certain Medical Costs For Sick Children

PROVIDENCE, RI — A Rhode Island lawmaker is calling for the creation of a fund to help support families of children who suffer from serious illnesses, covering expenses not paid for by insurance or other programs. Sponsored by East Providence Senator Valarie Lawson, the "Catastrophic Illness in Children Relief Fund" bill aims to address the issue of healthcare affordability.

"As the cost of healthcare continues to rise, we are seeing too many families who at best are financially crippled due to a child’s catastrophic illness, or at worst, are unable to provide treatment for their sick and suffering children," Lawson said. "This is simply not right. This fund will help with this all-too-real problem that many families in our state face, and I hope that if enacted, it will provide a measure of relief for families going through extremely difficult times."

If approved, the fund would be available to all children, aged 21 and younger, who are residents of the state and suffer from a "catastrophic" illness. The designation is defined as "any illness or condition of which the medical expenses are not covered through a government program or private insurance that exceeds 10 percent of the first $100,000 of annual family income, plus 15 percent of the excess income over $100,000 for a family annually."

The amount of reimbursement a family would be eligible for would be determined on a sliding-scale basis, weighing a family's ability to pay, family size, income and assets. All medical records relating to the child would be kept confidential.

The bill also calls for the creation of a nine-member commission to oversee the funds, comprised people such as director of the Department of Human Services, healthcare professionals and members of the public. Each year, the commission will be required to submit an annual report with the number of participants, average cost per person and other relevant data.

Money for the fund would be generate through a $1.50-per-year surcharge per employee for all employers who are included in employment security laws, to be collected by the state's Department of Labor and Training, then sent to the General Treasurer to be deposited.

"Establishing this safety-net is simply the right thing to do for our children and families suffering from catastrophic illnesses and conditions," Lawson continued. "No Rhode Island resident deserves to be plunged into bankruptcy or have to watch their child suffer due to an inability to pay costly, but, also necessary medical treatment."