Medicare Versus Medicaid: What’s the Difference?
March 30, 2023 | John Demko
As you approach Medicare eligibility, you will likely be inundated with mailings, information packets, and terms that you may not be fully aware of. This article will address a few of the common terms that you may not fully understand regarding medicare vs. medicaid.
So, what is the difference between Medicare and Medicaid?
Medicare
Medicare is a government funded program for individuals who are 65 or older for the common person. There are exceptions for this, such as being on Social Security Disability for 24 months, or having a disability, End-Stage Renal Disease or ALS in which case you can join Medicare at a younger age.
Because Medicare is a federal program, your rates, cost sharing percentage, and coverage will remain the same whether you are in the Midwest, or anywhere in the United States and Territories. Generally, a Medicare beneficiary can expect to pay certain premiums for different parts of Medicare, deductibles, and coinsurance to assist in the overall costs.
Related: What Do I Get with Original Medicare?
Medicaid
Where Medicare is only a federal program, Medicaid is both a federal and a state program that is made to assist individuals with limited income and or resources. Though the federal government implements rules that Medicaid programs must follow, each state technically runs their own programs. Due to this, you will have the same rights as a Medicaid user, though eligibility may vary depending on the state you reside in. With these plans, you will have much less cost sharing for hospital and medical services, prescriptions, and even have certain services covered that Medicare does not, such as care in a nursing home.
Related: What is a Medicare Advantage Plan (and do I need one?)
Where do I fit in?
With all this information, you may now wonder as to whether you or someone you know will qualify for Medicaid; you will want to look into your state’s requirements on income and/or assets and compare!
Do you have questions about whether a health screening, treatment, or service is covered by Medicare? Twin City Underwriters can help! Contact us with questions.
Choosing a Medicare plan can be difficult. Twin City Underwriters helps Medicare recipients in Minnesota, Wisconsin, North Dakota, South Dakota, Iowa and Florida find the Medicare plan that meets their unique needs. Schedule a one-on-one meeting with one of our Medicare insurance brokers to get your questions answered!
Do you need help with Medicare, insurance and health plans? Explore your options with Allina Health Aetna, Blue Cross/Blue Shield of Minnesota, Medica and UCare. We work with you to find the best plan for your needs and budget. Contact us today to get started.
