That's according to a report by Arkansas Advocates for Children and Families (AACF) in Little Rock.
Eighty-thousand parents in Arkansas will benefit if the state chooses to extend Medicaid under the federal health care law, claims the AACF.
That would drop the number of uninsured children in the state by 40-percent.
"We're really excited because when parents get coverage, children get coverage and they get the healthcare that they need," says AACF's Anna Strong.
As it stands now, a parent in a family of four has to make $3,000 a year to qualify for Medicaid.
If the state extends Medicaid, a parent making $31,000 a year or less becomes eligible.