What Makes Medicaid, Medicaid? — Affordability

Executive Summary

Medicaid includes provisions to ensure Medicaid beneficiaries are able to afford health care services. In this paper, Senior Policy Analyst David Machledt explains why cost sharing can discourage low-income individuals from seeking health care coverage, and the importance of Medicaid’s protections against run away cost sharing mechanisms. Machledt notes that “Medicaid.protections dramatically improve the affordability of care for low-income individuals, particularly those who have more extensive and ongoing health care needs, meaning they can actually afford to use their insurance and get treatment.” Machledt continues that efforts to repeal Medicaid in Congress include federal funding caps for Medicaid. A cap on federal Medicaid funding threatens to “roll back” the law’s “critical design features that have helped make Medicaid such a success.”

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