Seven Things Everyone Should Know about Medicaid

Right now, the Senate is deciding whether to follow the Trump Administration and the House’s lead and repeal health care. A decision that would result in 24 million having their health care taken away, costs going up 20 percent and much weaker protections — all to give the wealthiest, insurance and drug companies a bigger tax break. At the heart of their plan to repeal health care is to end Medicaid as we know it, a 50 year old program to make sure that seniors, children, people with disabilities and other vulnerable populations can get the care they need to stay healthy.

The House-passed “American Health Care Act” slashes Medicaid to the tune of $839 billion, or 25 percent. It converts the program from a guaranteed program to a so-called “per capita cap” program. These cuts will put at risk critical coverage for seniors, children and people with disabilities. The Trump budget announced today goes even further — cutting about another $600 billion Before the debate in the U.S. Senate gets into full-swing, here are seven facts that everyone needs to know about Medicaid:

1. Medicaid covers 77 million people, or 1 in 5 Americans. 77 million people get their health coverage through Medicaid, or roughly 1 in 5 Americans. Nearly half of those with Medicaid coverage are children — between Medicaid and CHIP that’s about 1 in 3 children. Fifteen percent are people with disabilities and 9 percent are seniors.
2. Two-thirds of Medicaid spending pays for care for the elderly and the disabled. While only making up 25 percent of the Medicaid population, seniors and people with disabilities account for two-thirds of Medicaid spending through long-term care such as nursing homes and home-based care.
3. Most people on Medicaid who are able to work, work. While Republicans like to claim that Medicaid disincentivizes work, it’s just not true. Almost 8 in 10 of those with Medicaid coverage are from a working family and about half are working for small firms that don’t provide health insurance. Looking at those with coverage because their state expanded Medicaid, half of the adults covered under the Medicaid expansion are permanently disabled or have serious physical and mental limitations. Of the other half, 62 percent were already working or in school (again, most low-wage jobs don’t offer health coverage). Remember, 48 percent of those with Medicaid coverage are kids.
4. Medicaid is the most cost efficient health insurance. Medicaid typically spends much less per consumer than private insurance. It costs Medicaid much less than private insurance to cover people with the same quality of care- 25 percent less, in fact.
5. Medicaid is critical to fighting the opioid epidemic and other public health crises. Medicaid is a vital program to help states combat the opioid crisis, with many of the states hit hardest by the opioid epidemic relying on Medicaid to pay for more than 40 percent of evidence–based medication assisted treatment. Medicaid is designed now so it’s there to provide crucial funds to help states and people when they need it the most in times of public health crisis.
6. Schools and children with special needs rely on Medicaid every day. Families with children who have Down Syndrome, autism, and other conditions that require specialized care rely on Medicaid. In addition, Medicaid helps special education students. 45 percent of schools rely on Medicaid funding. The New York Times reported recently on a survey that found that “nearly 70 percent of districts reported that they used the [Medicaid] money to pay the salaries of health care professionals who serve special education students.”
7. People on Medicaid like their coverage and use it. Republicans argue that Medicaid is a failing program that does not serve the people who rely on it well. Again, it’s just not true. Drew Altman, of the Kaiser Family Foundation, notes that: 85 percent of people on Medicaid were satisfied with their coverage compared to 87 percent with employer coverage and 44 percent of the uninsured. 85 percent of people on Medicaid took a child to get a checkup, compared to 86 percent of people with employer coverage and 53 percent of the uninsured. 74 percent of people of Medicaid saw a doctor in the last year compared to 69 percent of people with employer coverage and 36 percent of the uninsured.