Medicaid and Medicare are two separate government programs that provide health care coverage for eligible individuals. However, the two programs are quite different, and vary widely in the types of medical expenses that they cover. The two programs also have separate eligibility requirements. Since the difference between the two programs can be confusing, let’s take a closer look at each program individually.
Medicare is a federal government program that provides health insurance for all individuals who are over the age of 65. There are separate parts to Medicare; some people may have coverage under some parts, and others may have coverage under different parts. A brief description of each Medicare part is as follows:
· Part A – hospitalization insurance
· Part B – standard medical insurance that covers doctor’s visits and outpatient care
· Part C – Medicare Advantage Plan, which operates like a PPO or HMO
· Part D – prescription drug coverage
Medicare is the primary source of health insurance for Americans who are over the age of 65. Contrary to what many believe, Medicare does not pay for nursing home care or other forms of long-term care. However, Medicare does cover up to 100 days of skilled nursing home care so long as the patient’s medical condition is improving. If the patient’s condition deteriorates or fails to improve, then Medicare may stop paying for nursing home care.
Medicaid is a state-run government program that is funded by the federal government to provide aid for individuals with limited income and assets. Due to the strict resource limits for Medicaid eligibility, nursing home coverage only becomes available when individuals have spent their life savings, in some cases, when an unexpected medical catastrophe occurs that requires long-term care.
Whether you have questions about Medicaid and Medicare or are interested in creating or revising an estate plan, we are here to help you explore your options and make the decisions that best meet your objectives. At Legacy Law Center, our goal is to ensure that you have an effective estate plan in place to meet your loved ones’ needs and safeguard all of your assets. We have the skills and knowledge that you need to make the decisions about estate planning for your loved ones. Call your Michigan estate planning attorneys at (734) 995-2383 and schedule an immediate appointment.
© 2018 Legacy Law Center