This Paper Will Discuss The Early Years And Failed Efforts

1122 WordsApr 3, 20175 Pages
This paper will discuss the early years and failed efforts that transformed the Medicaid program into what is seen today. A comparison between Medicaid and Medicare will be brief but is necessary because there are significant and critical differences between these government-funded insurance options. The substantial growth of Medicaid expenditures and beneficiaries are important and these trends will be looked at in detail. There have been provisions related to the unanticipated expansion of this program which will be reviewed. Attempts to expand Medicaid eligibility further need to be addressed (example: Patient Protection and Affordable Care Act). Stigmas that are associated with receiving Medicaid will be reviewed. I will share my…show more content…
Major amendments to the Social Security Act that were passed by Congress influenced the history of Medicaid. “The 1972 amendments created the Supplemental Security Income (SSI) program, which federalized existing State cash assistance programs for aged and disabled persons” (Klemm, 2000). According to the article “Medicaid Spending: A Brief History”, SSI recipients are almost always provided health insurance through Medicaid; this caused more aged and disabled individuals to enroll in the Medicaid program which influenced cost. As mentioned in class, individuals who received SSI but returned to work are protected groups and receive mandatory coverage through Medicaid. As stated in the article “Medicaid Spending: A Brief History”, the Omnibus Budget Reconciliation Act (OBRA-1981) decreased federal contributions in states where growth exceeded certain goals; this was a three-year reduction which cut matching rates by up to 4.5% in 1982, 1983, and 1984. Eligibility changed as well which made it increasingly difficult for families to receive Medicaid coverage. Reductions in federal contributions led to flexibility provisions that “broadened State options for providing and reimbursing Medicaid benefits, as well as State authority to limit coverage under medically needy programs” (Klemm, 2000). This led to experimentation with alternative options such as Health Maintenance Organizations to manage services and costs because most
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