Medicaid is a program offered in the United States to help those who couldn't otherwise afford health insurance. It is a program that individuals must qualify for by proving their eligibility based on their income, their resources and whether they fall into the appropriate categories. Medicaid is open to all naturalized citizens, and citizens who arrived in the nation before Aug. 22, 1996.
History
Medicaid was signed into law by President Lyndon B. Johnson on July 30, 1965. It was created to provide welfare recipients with health care. Since this time, the focus of Medicaid has broadened to include more than just welfare recipients. Originally, Medicaid was overseen by the Social Security Administration. In 1977, the Health Care Financing Administration was created to administer the Medicaid program, which eventually became the Centers for Medicare & Medicaid Services.
Funding
Medicaid is both a state and a federal program. States run their own Medicaid programs, but they need to follow federal rules and regulations. If they do so, then they receive federal funds and grants. This funding this determined using what is known as the federal medical assistance percentages. Essentially, states that are wealthier receive a funding match of at least 50 percent, while less wealthy states receive more.
Categories
While some states cover more populations, there are a few populations that Medicaid is required by federal law to cover. This includes pregnant women, people with disabilities, people who are blind, children and those age 65 and older. Some states also cover caregivers of children and select adult populations besides the elderly or disabled.
Income and Resources
Since Medicaid was designed to help those with low incomes, every state has income eligibility requirements. These requirements are typically based on the federal poverty guidelines. For example, in the state of New Jersey, pregnant women must make below 200 percent of the federal poverty level. In 2010, that amounted to $21,660 annually if she were single or $29,140 each year if she were married.
Many states also count resources, or assets. These include things like bank accounts, cars, boats or other valuable items. Most states have limits around $2,000 to $6,000 in resources, while some states have no resource limit at all.
Services
Medicaid is a comprehensive health care insurance program. Those enrolled in Medicaid can see doctors, go to the hospital, go to the dentist and have access to home health care, physical therapy and dental care. Many Medicaid programs also offer transportation to and from their covered services. Medicaid also covers prescription drugs.
Tags: federal poverty, health care, help those, insurance program, Medicaid program