Medicaid covers the cost of hospital services for low-income families that meet eligibility requirements.
Medicaid, a government-funded program, allows low-income families who meet eligibility requirements to have access to health care. States administer the programs, in part with federal funds, and set eligibility guidelines regarding income, resources and other factors. People may have certain assumptions about various aspects of the program that, in truth, are myths rather than facts.
Eligibility
Not all people or families with low incomes are eligible for Medicaid. In addition to meeting the limits for income and financial resources, Medicaid applicants generally must fall into one of several categories: pregnant women; parents of children and teenagers; people who are 65 or older, blind or disabled; and people who are coming off welfare and need health coverage. Others may be eligible, depending on their state's standards, but should not count on receiving Medicaid.
Recipients
Contrary to popular assumption, Medicaid is not a welfare system for the unemployed. According to the Kaiser Family Foundation, 65 percent of Medicaid recipients are from working families. Although Medicaid originally was tied to the welfare system, it has been a separate program since 1996. For the unemployed who receive Medicaid, the program acts as a supplement to other government assistance programs while providing vital health coverage.
Services
The government does not cover 100 percent of recipients' health-care costs. For example, according to AARP, nursing home residents who receive Medicaid benefits may have to contribute their entire income to pay for their care. They may get to keep an allowance of $30 to $50 a month, depending on the state, to pay for necessities such as clothes, laundry and toiletries. Medicaid also does not provide "Cadillac" medical coverage the way some private plans do. Benefits typically are no-frills, sometimes meeting only the minimum standards for care services.
Relation to Medicare
Some people might think that once they qualify for Medicare, the government health-care program for U.S. citizens 65 and older, they no longer need Medicaid benefits. For those who require long-term care, such as nursing home care, only Medicaid covers those services. Furthermore, those who can afford only the most basic Medicare coverage might also need Medicaid for prescription drugs, preventive and diagnostic care and vision benefits such as eyeglasses. Medicaid benefits might cover the Medicare premium, along with deductibles and up to 20 percent of costs that Medicare does not cover.
Tags: Medicaid benefits, does cover, eligibility requirements, health coverage, low-income families, Medicaid covers
