What Is The Medicare Savings Program?
The Medicare Savings Program (MSP) is program available to those who already receive Medicare or Medicaid benefits. The qualifications for Medicaid and Medicare are similar to those required for the MSP. It is a helpful way to eliminate some of the monthly health care costs and various other costs for those who demonstrate the financial need.
Medicaid and/or Medicare
These are two difference government sponsored programs. It is possible to be eligible for only one or both of these programs. The qualifications for Medicare is nearly every individual over 65 years of age or an individual with a disability. For Medicare the amount of money a person brings in as well as their valuable assets are not deciding factors. Medicaid on the other hand is an income based program. Individuals with low income and no valuable assets are eligible. Being eligible for either of these programs will allow for an opportunity to be in the Medicare Savings Program.
What exactly is MSP?
The Medicare Savings Program is designed for Medicare and Medicaid beneficiaries who demonstrate further financial need. This program aids in reducing or eliminating monthly costs and premiums for coverage. There are four different types of savings programs and they differ depending on the degree of financial need. The four types are: Qualified Medicare Beneficiary, Qualified Individual, Qualified Disabled and Working Individual, and Specific Low-Income Medicare Beneficiary.
How MSP saves money each month
There are usually monthly premiums set for Medicare health insurance. These premiums are usually deducted from an individual’s social security each month automatically. If these premiums are reduced or eliminated then the individual will get more of their social security money. Based on the type of MSP someone qualifies for, their overall out of pocket costs will be reduced. This can include reduced co-payments and deductibles.
How to apply
Each state has their own distinct rules and regulations for who qualifies for these programs. An application must be filled out to determine eligibility. Be sure to fill out the most up-to-date application as they usually change each year. Once an application is filed however a new one will not be necessary unless circumstances have changed in the area of financial need.