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INCOME FEDERAL POVERTY LEVELS

MEDICARE SAVINGS PROGRAM

If the A/R meets the above five criteria s/he is eligible for Medicaid payment of the Medicare Part A premium, not the Medicare Part B premium.

Qualifying Individuals (QI)

The A/R must:

1. have Part A of Medicare;

2. have income greater than or equal to 120% but less than 135% of the federal poverty level.

If the A/R meets the above criteria s/he is eligible for Medicaid payment of the Medicare Part B premiums. The monthly amounts are identified in REFERENCE MEDICARE PART A and PART B PREMIUMS. Each state has been given a capped allocation to fund these premium payments.

NOTE: See REFERENCE section for a chart displaying the Medicaid Levels and Federal Poverty Levels. The A/R can either be eligible for the Medicare Savings Program or apply his/her income/resources, in excess of the appropriate Medically Needy level (See REFERENCE MEDICALLY NEEDY INCOME AND FEDERAL POVERTY LEVELS and MEDICAID RESOURCE LEVELS) to the cost of medical care and services, spending down to become eligible for Medicaid coverage. At the time of application, the applicant is encouraged to make a choice. The advantages and disadvantages of both programs are fully explained. An A/R may switch between spenddown and Medicare Savings Program; however, in the interest of accuracy and administrative efficiency, the A/R is encouraged to select one of the two programs.

(MRG)