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Medicare and Medicaid are government-run well being care packages meant to serve totally different populations:
Medicare is an insurance coverage program that primarily serves folks 65 and older, no matter earnings.
Medicaid is an help program that gives medical insurance to low-income folks of all ages.
Some folks get each Medicare and Medicaid. Medicaid may also help pay Medicare premiums, deductibles and copays for impoverished folks. Medicaid additionally pays for nursing house and different long-term care, bills that aren’t usually lined by Medicare.
Key issues to find out about Medicare:
Medicare protection isn’t primarily based on earnings
You’re eligible when you flip 65, so long as you’re a U.S. citizen or authorized everlasting resident. Medicare additionally covers youthful folks with disabilities and sure illnesses, together with finish stage renal illness (kidney failure) and Lou Gehrig’s illness or amyotrophic lateral sclerosis (ALS). Individuals with greater incomes pay bigger premiums for sure components of Medicare, however eligibility isn’t restricted by earnings.
Medicare isn’t free
Individuals who have labored 40 qualifying quarters (10 years), and their spouses or qualifying ex-spouses, pay no premiums for Medicare Half A, which covers hospitalization. However Medicare recipients usually do have out-of-pocket prices, together with deductibles and copays. Medicare Half B, which covers physician’s visits, and Half D, which covers prescriptions, additionally require paying premiums.
Medicare is a federal program
What’s lined and what folks pay is usually the identical in each state.
Medicare normally doesn’t cowl dependents
The partner or ex-spouse of somebody who’s eligible for protection can be lined by Medicare. However different dependents, together with youngsters, normally aren’t lined. There are exceptions: Individuals, together with youngsters, with end-stage renal illness or Lou Gehrig’s illness might qualify via the work historical past of a partner or mum or dad.
Key issues to find out about Medicaid:
Medicaid protection relies on earnings
Medicaid is out there in each state to these with incomes beneath the poverty line. Underneath the Inexpensive Care Act, most states have expanded Medicare eligibility to folks with incomes as much as 138% of the federal poverty line.
Medicaid is often free
Some folks might must pay small copays. Medicaid may also make a declare towards folks’s belongings after they die, however most individuals receiving Medicaid have few or no belongings.
Medicaid is a state and federal program
The federal authorities makes the rules, however this system is run by states so eligibility necessities fluctuate.
Medicaid covers dependents
Medicaid and the associated Kids’s Well being Insurance coverage Program present medical insurance to greater than 35 million youngsters.