The State Health Insurance Assistance Program (SHIP) is a federal initiative designed to provide one-on-one assistance, counseling, and education to Medicare beneficiaries, their families, and caregivers, helping them make informed decisions about their healthcare and benefits. The program funds state-level services to support these activities and will run for a five-year project period from April 1, 2025, to March 31, 2030. Eligible applicants are state agencies, including State Offices of Insurance, State Medicaid Offices, or State Departments on Aging, as designated by the state or territory. Each state, the District of Columbia, Puerto Rico, Guam, and the U.S. Virgin Islands will receive a SHIP grant.

A total of $260 million is expected to be awarded across 54 grants during the five-year period. The funding available per applicant varies from $60,000 to $4,200,000 per budget year. The SHIP funding formula includes both a regulatory and a discretionary portion, with funds distributed based on the state’s Medicare population, rural population, and the density of Medicare beneficiaries. A 5% hold-harmless provision ensures that states' funding does not fluctuate by more than 5% from year to year, provided overall program funding remains stable. Grants will be awarded for 12-month budget periods, and applicants must submit a comprehensive five-year budget plan based on their estimated 2025 funding.

SHIP funds are intended to strengthen local SHIP offices' ability to provide personalized counseling, education, and outreach through a community-based approach. Each SHIP operates as part of the statewide No Wrong Door system, helping streamline access to services for older adults and individuals with disabilities. Applications must outline plans to provide statewide Medicare counseling, including helping beneficiaries with plan comparisons, enrollment, and appeals, and offering information on long-term care insurance and other health benefits.

Applicants are expected to describe their strategies for expanding outreach, particularly to hard-to-reach populations, including rural residents, low-income individuals, and those with limited English proficiency. Additionally, applications must detail plans for workforce recruitment, training, and retention, including managing a diverse workforce of paid staff and volunteers.

The program also encourages innovation, requiring SHIP applicants to outline new methods for reaching beneficiaries and addressing gaps in service. This includes quality assurance processes and leveraging media, both traditional and digital, to raise awareness of SHIP services. Additionally, grantees must align their efforts with other state services and maintain rigorous program management and data reporting standards.

Awards will be made as cooperative agreements, which involve ongoing collaboration between the grantee and the Administration for Community Living (ACL). Grantees are required to participate in national and regional meetings, comply with reporting requirements, and adhere to ACL's conflict-of-interest policies. ACL will provide technical assistance and work closely with grantees to ensure the successful implementation and evaluation of the program.