Do I Have To Pay A Premium For Medicaid Coverage?
When a person applies for Medicaid coverage, premiums are not the first thing he or she has on his mind. The application process is often embarrassing, although some states to give Medicaid to infants during their first year of life. The short answer is that the Medicaid program does not require its users to pay premiums.
Funding for the Program
Although premiums for Medicaid coverage do not exist, state sales and other taxes fund the program. Some people may consider paying taxes as paying the premium for the program, but even people who do not receive the insurance plan for individuals of limited resources pay into the program. Federal taxes also contribute to the program, although each state administers its insurance program for people with limited resources slightly differently. People who leave the Medicare program and are confined to a long-term care nursing facility may find themselves receiving Medicaid after their financial resources are completely drained.
No Medicaid Premiums, but Co-Pays Do Exist
A client never has to pay a Medicaid coverage. If a client needs emergency medical care or some form of surgery, Medicaid does not usually cover the full cost. While the cost of most of the stay or surgery does get covered, the hospital or doctor may bill the client for a few dollars after he or she receives the necessary care. While anyone who pays state and federal taxes pays into the program, a person on the plan never receives a monthly bill. If the client exceeds the eligibility guidelines, he may need to apply for a private health insurance plan or a low-cost state run plan. The low cost state-run plans often do have a premium to pay, although this premium is much lower than the monthly.
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