Medicare and Medicaid are both government-funded programs that help pay for Americans’ healthcare expenses. Since the two programs have similar names, they’re frequently confused for one another, making it difficult to know exactly how each one works, what services they provide, and whether a plan for Medicaid or Medicare is right for you.
If you’re curious about the differences between Medicare and Medicaid, here’s a quick explanation.
What is Medicare?
Medicare helps provide healthcare coverage to U.S. citizens who are 65 years or older and individuals with certain types of disabilities. Medicare eligibility is not income-based and it is a four-part program that includes:
- Part A – Hospitalization coverage: This provides hospitalization coverage to people ages 65 and up. To qualify, you or your spouse must have worked and paid Medicare taxes for at least 10 years.
- Part B – Medical insurance: If you qualify for Part A, you also qualify for medical insurance, which covers services and equipment that are medically necessary. Examples include preventative screenings, wheelchairs, and visits to the doctors office, among other things.
- Part C – Medicare advantage plans: These are offered by private companies that have been approved by Medicare. Part C provides coverage offered in Part A and B, as well as vision, dental, and hearing coverage.
- Part D – Prescription drug coverage: If you are enrolled in Part C Medicare, but your plan does not prescribe prescription drug coverage, you may want to consider Part D.
What is Medicaid?
Medicaid is a state and federal program that helps low-income Americans pay for medical needs and long-term custodial care expenses. People of all ages may qualify and sometimes pregnant women, children, elderly individuals, or people with disabilities may also qualify.
Medicaid coverage varies depending on the state, but the federal government does mandate some specific services. If you’re searching for a plan for Medicaid, there may be several no-cost or low-cost options in your state. The best plan for Medicaid will depend on your needs, financial ability, and the offerings in your area.
What’s the difference between Medicare and Medicaid?
Ultimately the main difference between these two programs is that Medicare is available to individuals based on age and disability while anyone can get Medicaid if they are low-income or are facing another special circumstance.
If you’re trying to determine whether Medicare or Medicaid is the right option for you, you can visit HealthCare.gov for more details or consult with an elder law attorney.
Author Resource:-
Mark writes often about estate planning. His articles may include topics like real estate closing attorney and business succession laws to help the people in needs. You can find his thoughts at local estate planners blog.
