True or False: If a client receives a Medicaid/CHIP PDM notice and no action is taken, they will lose all financial assistance.

The statement is true because if a client receives a Medicaid/CHIP Premium Discount Modifier (PDM) notice and does not take the necessary actions, they risk losing all their financial assistance. This situation often arises in cases where the client needs to verify their eligibility or provide additional documentation related to their Medicaid or CHIP coverage.

When clients fail to respond to such notices, it can lead to a termination of their Medicaid or CHIP benefits, which are crucial forms of financial assistance that help reduce costs associated with healthcare coverage. In the realm of the Federally-facilitated Marketplace, maintaining eligibility for financial assistance is contingent upon the timely response to notices and ongoing requirements related to income and household changes.

Other options, such as considering state guidelines or changes in income, do not specifically address the direct consequence of inaction in response to a PDM notice, and thus they do not accurately capture the overarching rule that failing to act will indeed result in a loss of financial assistance.