The Child Health Insurance Plan (CHIP) was signed into a federal law and exists to help fund state-level health insurance for children. Each state has its own plan, mainly for low-income families. These families are usually beyond the scope of eligibility for Medicaid, or may have workplace insurance that does not cover their children. CHIP eligibility varies from state to state, and most states cover children whose household income does not exceed at least 200% of the Federal Poverty Level (FPL).