The Health Care Mess: "Expanding" Medicaid

Over at DU an attorney with some experience with Medicaid explains what it is really about, which really means this stupid health care "reform" bill expanding the number of people going on Medicaid merely expands the numbers of people who have their current and future estates seized:

This post is not intended to argue one way or the other on the Senate HCR bill, just to try to clear up some of I what I think are misunderstandings by many concerning the nature of Medicaid.

First of all, Medicaid is not "insurance". You cannot buy it, pay premiums for it or contract for it. It is medical care established by the federal government and optional for the states (though all states now have it) and is need based, though need, no matter how poor someone may be, is not the sole criteria to be eligible for it. Not all poor people are eligible for it unless they fall into one of the areas specifically covered by Medicaid (treatment for HIV, nursing home care, etc.).

Second, it is not "free". Though you receive medical care if eligible, you by law must promise to repay for Medicaid when and if you are able to do so. You might think those were empty words, because after all, how could poor people repay for costly medical care? Well, I have seen on many occasions people who were in fact forced to repay Medicaid. They list your treatment, render a "bill" at some point (which is really just notification of the amount owed) and file it as a lien against you. Then, if you inherit Mom or Pop's home, or if you win the lottery or if you have an accident and sue and recover damages you find out a lien has been filed against you and you cannot sell the property, collect the judgment or cash the lottery check without paying back Medicaid. This happens quite often with elderly people in nursing homes after they have exhausted their savings and become eligible for Medicaid when $8.000 or more is added to the lien each month. Except in the case of a surviving spouse (or dependent child) in NJ all of that money must be paid back from, for example, the sale of a home.

But it not only negatively impacts those who have been on Medicaid who want to sell or dispose of property. It also prevents them from buying property. Let's say a person is poor but then obtains an education or job training and a few years down the road is in the position to actually buy a home. Well, no, because before buying most lenders require a lien search be done on the buyer and if a Medicaid lien turns up they will reject the buyer for bad credit.

I hope this post doesn't sound patronizing and I realize that most probably know the difference, but Medicare and Medicaid are so different they probably should not be discussed in the same sentence.

And here some Democrats are praising this shit "reform." Extending MEDICARE to those age 55 and older is real health insurance reform; expanding MEDICAID does nothing of the kind but ruin even MORE people financially.

Screw it.