Home - Health & Wellness - 6 Frequently Asked Questions About Medicare And Medicaid

6 Frequently Asked Questions About Medicare And Medicaid

6 frequently asked questions about Medicare and Medicaid

Health insurance is a program that protects an individual against the costs associated with medical as well as surgical expenses.

How can a person purchase health insurance?

  • An individual can choose between different kinds of health insurance policies.
  • In America, as per the statistics of the National Health Interview Survey, 65% of the individuals in the country aged below 65 years have private health insurance.
6 Frequently Asked Questions About Medicare And Medicaid
  • Individuals can also purchase health insurance as social insurance or social welfare funded program that is operated by the government.
  • In such health insurance policies, resources are pooled, and the risk of financial expenditures for medical services are distributed among the entire population to ensure that every person is protected.
  • These health insurance policies are for people who cannot afford expensive medical services.
  • In countries like the United States of America, health insurance is considered to be an employment perk since most employers offer it as a part of their benefits packages.
  • However, such people most often lose their health care coverage whenever they are unemployed, or when they change their jobs.
  • What is Medicaid?

    • It is the largest health insurance program that pays for the medical expenses of low-income citizens of our country.
    • The Health Insurance Association of United States of America defines Medicaid as a government health insurance program for individuals of all ages, whose resources and income are not sufficient to pay for the required medical services.
    • As per the statistics of 2017, Medicaid has covered 74 million low-income persons as well as individuals with disabilities.
    • It offers other benefits like personal care services and nursing care facilities.
    • The Federal Government has designed this program, and the state governments administer it. Both these bodies jointly fund Medicaid.
    • Initially, it began as a program that paid for the medical care of those people who were not in a position to work, offering blanket coverage to the blind, the disabled, the aged as well as families with single parents.

    Who is eligible to apply for Medicaid?

    • A person is eligible to apply for Medicaid if they meet the federal income as well as standard assets norms, and also fit into the specified eligibility criteria.
    • Today, Medicaid covers pregnant women and children.
    • Families with unemployed parents are also eligible for Medicaid.
    • However, families who have recently lost Medicaid coverage as a parent has attained employment can remain insured for one year.

    What is Medicare?

    • Medicare is a national health insurance program.
    • The centers of Medicare and Medicaid of Federal Government of United States of America undertake the administration of this program.
    • It began under the Social Security Administration in the year 1966.
    • Medicare receives its funding from a combination of premiums and surtaxes from beneficiaries, payroll taxes, as well as other revenues.

    Who is covered by Medicare?

    • Under its health insurance coverage come those individuals who are 65 years and above, and have worked and paid into this system by contributing through payroll taxes.
    • Medicare also extends its coverage to those individuals who have specific disabilities as determined by Social Security Administration.
    • Further, the coverage of this health insurance program extends to individuals who have end-stage renal disease, which is a permanent kidney failure that requires either a transplant or regular dialysis.

    What are the various parts of Medicare?

    • Hospital insurance/Medicare Part A: This Medicare plan covers the in-patient treatment in a professional nursing home, hospice care, stay at a hospital, and other home health care treatments.
    • Medical insurance/Medicare Part B: This part of Medicare covers some services of the doctor, outpatient care, prevention services as well as other medical supplies.
    • Medicare Advantage Plans/Medicare Part C: This is a type of medical health plan provided by a private company contractually linked with Medicare. This health insurance plan covers the benefits provided by medical insurance and hospital insurance. Part C also includes a health maintenance organization, fee for service plan, special needs plans, preferred provider organization and also Medicare medical savings account plans.
    • Prescription drug coverage/Medicare Part D: This part of Medicare provides coverage for specific Medicare costs, original Medicare, certain Medicare fee for service plans, and Medicare medical savings account plans.
    Disclaimer:
    The content provided on our blog site traverses numerous categories, offering readers valuable and practical information. Readers can use the editorial team’s research and data to gain more insights into their topics of interest. However, they are requested not to treat the articles as conclusive. The website team cannot be held responsible for differences in data or inaccuracies found across other platforms. Please also note that the site might also miss out on various schemes and offers available that the readers may find more beneficial than the ones we cover.
    Previous Article
    Next Article

    Featured Articles