Do you know these two words? “Medicaid & Medicare” sound alike, but they do have different meanings that have been attached to them. These are government-funded programs with the sole aim of making different groups benefit from them. They are health insurance for people who need to get insured based on different health conditions. They help people to cater for their numerous health expenses while giving them intensive health care. In America, citizens have been using these two programs to solve their health issues.
In 1965, these two programs were established and were spearheaded by the United State taxpayers. It should be noted they both have their different health insurance coverage they do provide to people. The essence of these programs is to allow people to save money, and then, avoid unwanted costs due to health expenses. The good thing to know is they have their different laws and principles in which they operate.
What is Medicare?
This is a federal health insurance program that offers health coverage for two different categories of people; over 65 & fewer than 65. These people will be giving this coverage as long as they have a disability that has made them away from their work. It is offered to citizens who fall into the elite citizen Category. It is an official entitlement for most citizens who live in America. The good thing about this is all the health expenses are being paid from the trust funds, with different centers spread all over the states in America.
Older citizens in America with high medical bills can use Medicare to solve their health-related problems. Young people can benefit from this Medicare due to having one of these particular infirmities, such as amyotrophic lateral sclerosis, and end-stage renal disease (Lou Gehrig’s disease). Medicare has been in existence for decades, and several senior Citizens in the United State have enrolled in the system. People who have paid for this Medicare on their earnings, got taxes taken out from their monthly paycheck, and these are divided into four parts.
Different Parts of Medicare
There are four parts of these Medicare, and here they are:
- Part A
- Part B
- Part C
- Part D
1. Medicare Part A:
This part of Medicare covers health insurance which is basically for healthcare, specifically, for using a medical facility. The hospitalization coverage is for people who are over 65 years of age. The kind of income they get has nothing to with their health insurance. The service does come free for people who need them without paying any monthly insurance premium, but the patients still have to pay coin insurance and deductibles to this health service.
2. Medicare Part B:
Part B of Medicare goes for numerous health expenses such as preventative medicines, doctor appointments, physician services, wheelchairs, lab work, ambulance services, etc. The premium cost for this Medicare is $134 for anyone who wants it. Any employer who is still under his employer’s health coverage can’t sign for this Medicare Part B.
3. Medicare Part C:
This is supplemental health insurance for people who are legible for Medicare Part A and B. It offers traditional Medicare insurance with Medicare advantage plans. Other benefits for this part are dental and vision health coverage. It helps to cut down the cost of buying health insurance services separately.
4. Medicare Part D:
This offers numerous benefits such as prescription of drugs. Medicare is capable of standing on its own or combines with other Medicare coverage. For anyone who buys drugs through this coverage, get it for free. This part of Medicare is available for people who have enrolled in Medicare Part A and Part B.
This is a government program that offers health insurance coverage for people with low earning income. This public health insurance service is based on large finance which is paid through public funds. These funds are derived through the income taxes of people who have enrolled in this Medicaid program. The federal and state governments are involved in funding this program. For people who don’t have access to obtain other resources can use this program.
This program is located in various states in the US. It is for all demographics with low income. It should be noted that this health program can be offered by both private and public insurance companies. For anyone who wants to obtain this program must enroll for it. Some of these medical health expenses such as hospitalizations, nursing home costs, rural health care clinic costs, regular physician services, etc. Medicaid provides two types of care.
Different Types of Medicare
There are two types of Medicaid:
- Custodial Care
- Nursing Home Care
1. Custodial Care:
The kind of care they provide is to help one with their daily activities. Examples of these activities are dressing, eating, bathing, etc. It is made available to those who are recuperating from one form of illness or the other.
2. Nursing Home Care:
This helps in attending to long-term nursing home care. There are lots of criteria that have to be fulfilled before one could get it with different income and tax deductions which are attached to the payment.
Differences between Medicare and Medicaid
Medicare has nothing to do with income if you can meet the necessary conditions such as being a U.S. citizen, legal permanent resident, and the recommended age which is 65 years old. Medicaid is fully based on income for anyone who wants to get it and it is being provided in every state in America
Medicare doesn’t come for free, because there are fees attached to it, for this health care service. There are lots of services to be paid in this service such as deductibles and copays. Medicaid comes for free, except a small fee to be paid for small copays at times.
Medicare happens to be a federal program, and their payment is the same throughout every state in the U.S. While for Medicaid, it is being run by the state government and the federal government both issuing out principles guiding it.