What is Medicaid
Medicaid is not to be confused with Medicare. Though both are health insurance schemes of the United States, they are very different from each other. Medicaid is more of a social welfare scheme than a health insurance scheme. Medicaid is basically a program which is for people from the low income group which has limited income and resources. It is also for some disabled people.
Medicaid is a United States health program jointly funded by the states and federal government and is managed by the states. Some resident aliens are also eligible for Medicaid along with poor US citizens but poverty is not the only criteria for eligibility for Medicaid. Approximately sixty per cent of poor Americans are not covered by Medicaid.
Medicaid came into existence in 1965. Each state has its own Medicaid program and is called as Medi-Cal in California, MassHealth in Massachusettes, Oregon Health Plan in Oregan and so on. State participation is voluntary but most of the States have Medicaid in different forms. In some states Medicaid is administered through private health insurance companies, while other states may pay doctors, clinics and hospitals directly.
It is more of a social protection program rather than a social insurance one. The main criterion for eligibility is low and limited income. It covers a wide range of health care services. There may be several people who are eligible for both Medicare and Medicaid programs and uses them. They are known as Medicare dual eligibles and about seven million people are enrolled in both of them. Though poverty and limited income is the basic criteria, people with disabilities, pregnant women and others are also eligible. It helps people who have no medical insurance, though the eligibility differs from state to state. However the states have to follow the same basic framework.
Medicaid does not provide medical aid to all poor people. They have to fall into the designated eligibility group to avail it. Medicaid is not limited to age but the other requirements can be blindness, pregnancy, disability, and being a U.S. citizen or a lawfully admitted immigrant. There are special rules for people living in a nursing home and disabled children living at home. A child is eligible for Medicaid regardless of the eligibility status of his parents or guardians. A child can be eligible even if he is living with someone other than his family as his eligibility is based on his individual status and has no regard for that of his parents or guardians.
However the number of doctors accepting Medicaid has decreased over the years, probably because of the low reimbursement rates.