SCHIP stands for "State Children's Health Insurance Program". The program is designed to provide health care to children from families of modest income who may or may not qualify for Medicaid. The Federal Government provides matching funds to States for their SCHIP programs.
Wikipedia SCHIP Link
Once again, each State administers their SCHIP program differently and under different names (in California, SCHIP is called "Healthy Families").
Why you should apply for SCHIP:
1. Qualifying for SCHIP may make you automatically qualified for other programs in your state
2. Even if you do not qualify for SCHIP, some programs in your state may require that you be denied SCHIP before they will process your application for their program.
How to apply (outside California):
You will need to do an internet search for the SCHIP program in your state or contact your State's health department.
How to Apply in California:
1. If you have applied for HIPP (step 6), MediCal should have already made a determination on whether you are eligible for Healthy Families since MediCal will only approve you for HIPP if you do not qualify for Healthy Families.
2. In California, if you were not approved for HIPP or are not eligible for NO COST Medi-Cal, your application for Healthy Families should have been automatically forwarded to Healthy Families by your local Medi-cal office. THIS DOES NOT ALWAYS HAPPEN. So you will want to apply directly to Healthy Families to make sure.
3. Apply Online. If you do not wish to apply online, you may call 1-800-880-5305 to have an application sent to you.
4. If you apply online, at the very end of the application process, you will be given a fax cover sheet with a bar code on it to print. The fax cover sheet will indicate what supporting documents you will need to send to Healthy Families (such as pay stubs etc.).
*Don't worry if you do not have access to a fax machine, you can also use the printed fax cover sheet to mail your supporting documentation.
Healthy Families Home Page
Healthy Families Online Application