With extended media coverage of the GOP’s plan to make changes to the Affordable Health Care Act, the issues and how they affect Arkansans can be difficult to understand. An important place to start is the difference between Medicare and Medicaid. According to a Henry J. Kaiser Family Foundation Poll 72 percent of the public, including 85 percent of those 65 and older, are aware that Medicare is the primary source of health insurance for people for that age group. However, only about 65 percent know that Medicaid is the primary source of health insurance for low-income people.
According to the Arkansas Medicaid website medicaid.state.ar.us, Medicaid helps pay for medically necessary services for needy and low income persons. Medicaid uses state and federal government money and is ran by the Arkansas Department of Human Services. Medicare is federal health insurance and pays for medical services for people age 65 and older, and for some people with a disability. Individuals with extenuating medical circumstances may qualify as “dual eligibles” for both Medicare and Medicaid under the Affordable Care Act. An office was created specifically for such situations called the Centers for Medicare and Medicaid Services and can be found at www.cms.gov.
The Patient Protection Affordable Care Act, also known as “Obamacare” or “ACA”, is a federal statute enacted by President Barack Obama on March 23, 2010, in order to increase health insurance quality, affordability and lower the rate of those uninsured. According to the Arkansas Center for Health Improvement, the Healthcare Independence Program (HCIP), commonly referred to as the private option, was developed in 2013 in the state of Arkansas, as a bipartisan solution to take maximum advantage of the federal funding opportunities created through the ACA. This program uses Medicaid dollars to purchase individual qualified health plans offered “privately” through the Health Insurance Marketplace.
The private option plan will change at the end of the year to become the Arkansas Works Act of 2016. Arkansas Governor Asa Hutchinson says in order for the state to have a balanced budget Medicaid funding needs continued expansion. A Health Reform Legislative Task Force was set up and, after nearly a year of deliberation, the Arkansas General Assembly approved the Arkansas Works program.
According to the non-technical description of the Arkansas Works Act of 2016, revised in April, The primary goal of Arkansas Works is to extend coverage for approximately 250,000 low income Arkansans, for individuals to achieve self reliance through greater work opportunities and to strengthen the ability of employers to provide health insurance.
Eligibility will cover ages 19 through 65 who are childless adults earning up to 138 percent of the Federal Poverty Level or parents or caretakers who earn 138 percent of the Federal Poverty Level. Applicants must also be a U.S. citizen or qualified documented alien, not be eligible for Medicaid under 2014 requirements and have exceptional medical needs. They must also not be enrolled in Medicare or receiving advanced premium tax credits to enroll in the Health Insurance Marketplace. Incarcerated individuals will not qualify for the Arkansas Works Program.
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