A lady I used to work with refused to insure her children through the company insurance so that she could get them MyChild. She said "Why should I pay for insurance when I can get it for free?" Because I worked with her I didn't tell her that I that she was stealing medical care from people who really need it.

But In you case it's a little different. First of all this program you are on costs you nothing out of pocket right now. And if you get regular insurance you will have to pay copays and deductibles on you medical care. You probably won't be in a good position to do that for a bit. I recommend staying on the state program for a year or so, and then switching during the next open enrollment.