Medicare vs. Medicaid
Medicare, if you are eligible to enroll in it, will assist in covering medical costs regardless of financial status. It is not a financial needs-based program. Medicare is a health insurance program for people over 65 or people under 65 with certain disabilities.
Medicare has two parts: Part A is hospital insurance (paid through payroll taxes). Part B is medical insurance, with premiums paid for monthly. There are also many Medicare Advantage programs that one can elect to participate in, run by private companies. There are many choices when it comes to selecting the right Medicare plan and it is important to know all the facts in order to have the program that's right for you.
Medicaid covers medical care expenses AND custodial (long term) care expenses. It is a financial AND medical needs based program. The eligibility requirements for Medicaid vary by state. Many states have "income caps" and monthly spending limits.
To qualify for Medicaid, people typically have to "spend down" their assets. Often, people lose most of what they've worked hard to accumulate, leaving their spouse or family member impoverished.
Medigap Plans: You may choose to buy a Medicare supplement or Medigap plan to cover costs not covered by Medicare. There are many plans to choose from, and costs differ from plan to plan. If you would like additional information on Medicare Supplements please call our office.
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