As lawmakers continue to discuss deep federal funding cuts to Medicaid, it’s important to remember that more than 12 million older adults and people with disabilities rely on Medicaid to help them afford their Medicare coverage, stay in their homes and communities and access the services they need. For example, Medicaid covers essential services that Medicare doesn’t cover, such as long term home health and nursing facility care. It also helps beneficiaries make ends meet by covering Medicare premiums and cost sharing.
A new analysis from the Kaiser Family Foundation (KFF) underscores just how essential Medicaid is in helping the nearly 1 in 5 Medicare beneficiaries who are dually enrolled in Medicaid.
Below are additional insights from KFF’s research:
- “Most Medicare beneficiaries with Medicaid have low incomes and modest savings, and Medicaid coverage makes the Medicare program more affordable by paying premiums, and in most cases, cost sharing. Medicare Part B premiums are $185 per month in 2025 and without Medicaid, these premiums alone would consume close to 15% of income for people in poverty.”
- “Across the 50 states and the District of Columbia, the share of Medicare beneficiaries who are also covered by Medicaid ranges from 9% in New Hampshire to 34% in D.C. The variation stems from differences in eligibility criteria for Medicaid, as well as the income and asset levels of Medicare beneficiaries living in different states.”
- “Four in ten (41%) people with both Medicare and Medicaid report their health as fair or poor, compared with 15% of Medicare beneficiaries without Medicaid coverage. More than a third (34%) of those with both Medicare and Medicaid have five or more chronic conditions, such as diabetes, hypertension, and heart disease, compared with 23% of Medicare beneficiaries without Medicaid coverage.”
- “People with both Medicare and Medicaid comprise 16% of the traditional Medicare population and 31% of traditional Medicare spending in 2021… The higher spending relative to enrollment is consistent with the greater health and functional needs of people with both Medicare and Medicaid.”
- “Almost 5 million Medicare beneficiaries with Medicaid used at least one of four Medicaid wraparound services in 2021, including long-term care, vision services, dental services, and non-emergency medical transportation. Medicaid wraparound services are Medicaid benefits available to most Medicare beneficiaries with Medicaid that are not covered under Medicare Part A or Part B.”
For more information on Medicaid’s vital role, visit https://modernmedicaid.org.