Medicaid is a government program providing healthcare to low-income individuals, with eligibility criteria varying by state. It was created in 1965 and monitored by federal Centers for Medicare and Medicaid Services. Medicaid’s history includes conflict over government involvement in healthcare, and various adjustments to maintain its intent. Dental services were added in 1989, and the Medicaid Drug Rebate program was launched in 1991 to manage prescription drug costs. The program’s focus on maintaining a standard level of care for low-income citizens remains consistent.
Medicaid’s history is a testament to the US government’s efforts to provide health care to low-income people. Medicaid is a government program run by each state to meet the needs of poorer communities. Eligibility is determined based on a number of financial and employment criteria that vary by state and focus on children, seniors, individuals with disabilities, and low-income parents.
In 1965, Medicaid was created through the Social Security Act. The federal Centers for Medicare and Medicaid Services are responsible for monitoring how each state administers its programs. They are also responsible for defining and measuring the quality of service, the method of delivery, the level of funding and the eligibility criteria established by each state. In 1967, the Comprehensive Early and Periodic Screening, Diagnosis, and Treatment (EPSDT) plan was developed for all children under the age of 21.
The freedom of choice, home and community care waivers were created in 1981. These waivers increased participants’ flexibility in selecting their care provider. That same year, all states were required to pay hospitals that provided health care services to a larger share of low-income patients with additional funding to support their services. This change was designed to reduce the financial incentive for hospitals to limit the number of low-income patients they treat. Adjustments like this ensured that the intent of the program was maintained throughout Medicaid’s history.
Although Medicaid was incorporated in 1965, it was not available in all states until 1982. The history of Medicaid shows conflict within each state over the role of government and health care. In the United States, health care is an asset purchased and paid for by an individual or an employer. The amount of government involvement in the Medicaid program varies by state. Some states administer the entire program, with a short list of approved physicians, health care providers, and other states have outsourced the management of the entire program to private companies.
Dental services were added to Medicaid in 1989 when US Congress mandated that all states must provide all Medicaid services to children under the age of 21. The types of dental services covered by Medicaid vary by state, but all are required to provide a minimum of pain relief, restore teeth, and ensure that standards of dental health are maintained. There are several programs designed to provide a method for the early diagnosis and treatment of standard medical conditions. An important benefit of Medicaid is the provision that the state is responsible for providing care for any disease identified during oral screening. This is true even if the disease is not covered by the patient’s current Medicaid plan.
On January 1, 1991, the Medicaid Drug Rebate program was launched. The Omnibus Reconciliation Act of 1990 initially created the program. The purpose of the program is to create a mechanism for managing the cost of prescription drugs. The program allows states to maintain a master list of covered drugs, generic substitutes, and alternative treatment options. The focus on maintaining a standard level of care for low-income citizens remains consistent throughout the history of Medicaid.
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