The latest Kids Count report by the Annie E. Casey Foundation has found that children in Massachusetts are better off than almost anywhere else in the nation.

According to the report released Tuesday, children in Massachusetts lead the nation in educational achievement and are less likely to be without health insurance than in any other state.

A nation-leading 47 percent of Massachusetts fourth-graders are proficient readers.

The report found that 99 percent of children in the state have access to health insurance. But health challenges remain, including the fact that Massachusetts children are about as likely to abuse drugs and alcohol as kids everywhere.

The report also found that Massachusetts has one of the lowest child poverty rates in the country.

Officials say despite successes, Massachusetts cannot afford to be complacent.