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Commentary

CARES Act Funds Help Consumers, but Create Health Coverage Eligibility Challenges for States

This commentary discusses the Coronavirus Aid, Relief, and Economic Security Act (CARES Act). It includes a Pandemic Unemployment Compensation benefit of $600 a week, which supplements traditional unemployment insurance (UI) benefits and provides an important source of additional financial support for individuals who qualify for these payments.

Because these supplemental payments are counted as income for determining eligibility for marketplace subsidies – but not counted when determining eligibility for Medicaid and the Children’s Health Insurance Program (CHIP) – there could be challenges for both individuals and states.