New Article Details Medicaid Challenges for Individuals Approaching Poverty Definition, Note Over $2000 Excess Spending

April 6, 2021

According to a new report, people who exceed income requirements for Medicaid eligibility are affected by over $2000 in out-of-pocket spending over two years, attend less healthcare appointments, and face lower rates of medication adherence. The authors strongly recommend expanding Medicaid supplemental coverage to reduce barriers to healthcare.

The authors remark, “Cost sharing in traditional Medicare can consume a substantial portion of the income of beneficiaries who do not have supplemental insurance from Medicaid, an employer, or a Medigap plan. Near-poor Medicare beneficiaries (with incomes more than 100 percent but less than 200 percent of the federal poverty level) are ineligible for Medicaid but frequently lack alternative supplemental coverage, resulting in a supplemental coverage “cliff” of 25.8 percentage points just above the eligibility threshold for Medicaid (100 percent of poverty).” Read more here.