Medicaid and Medicare are commonly confused, and they are indeed similar on the surface. Like Medicare, Medicaid is a government funded program that provides assistance for people who require medical treatment. However, Medicaid is funded on a state level, while Medicare is funded by the federal government. Each state has control over its own Medicaid program, and some states even assign them a different name. For example, Murfreesboro and Tennessee residents may recognize Medicaid as TennCare.
Another difference between Medicare and Medicaid is how they are distributed to the population. Instead of being based on age or disability status, Medicaid is issued to citizens based on need. A person’s income and total financial resources are taken into account, and if they fall below a certain threshold, they will be eligible for Medicaid.
Medicaid pays for up to 80% of a patient’s medical expenses, and covers most of the same treatments as Medicare Part A and B. Medicaid also provides coverage for children if they meet the eligibility requirements. They can receive coverage even if their parents are not eligible.
Some patients may be eligible to qualify for Medicare and Medicaid at the same time. These people are known as dual eligibles, and they can receive substantial assistance on their medical bills by being enrolled in both programs.