Model Policies by Theme
Eliminate the Asset Test
Many older adults and people with disabilities skip medical care and struggle financially because of high Medicare premiums and cost sharing. By leveraging the Medicare Savings Programs, states can ease the financial strain of Medicare. However, confusing and time-consuming asset verification requirements delay or prevent many eligible individuals from enrolling.
Comment
End the MSP Family Caregiver Penalty
Most states only include the applicant and their spouse to calculate eligibility for the Medicare Savings Programs (MSPs). This means caregivers—such as grandparents raising grandchildren or parents with dependent adult children—can only qualify for the MSPs at lower incomes (relative to the federal poverty level) than non-caregivers. We refer to this as the “MSP family caregiver penalty.”
Comment
Flatten the Benefit Cliff from Medicaid to Medicare
Enrolling in Medicare results in many people losing Medicaid and facing much higher out-of-pocket costs. These costs amount to a financial shock—a problem known as the “Medicare cliff.”
Comment
Simplify Eligibility by Disregarding the Value of Non-Liquid Assets
The model state legislation below would simplify eligibility for the Medicare Savings Programs (MSPs) by disregarding the value of non-liquid assets—such as farm equipment or land separate from an individual’s primary residence—as permitted by section 1902(r)(2) of the Social Security Act.
Comment