Medicare, Medicaid, Life and Health Insurance/Medicare Replacement Plan
I have two aunts who live in Indiana. They are 97 and 95 years of age. Their only income is from Social Security. They have little savings, so they will depend on Medicaid for help in the future.
Question: Looking at future nursing home needs for both of them, is a "Medicare replacement plan" (which they now have) better or worse for them compared to changing to standard Medicare plans?
The nursing home tells us that Medicare replacement plans "don't work so well" with Medicaid. They tell us that standard Medicare works together better with Medicaid.
We don't know if the nursing home is telling us this because it pays them better...or if standard Medicare with Medicaid is truly better for my aunts.
Thanks for your help! We need to make a decision soon.
The nursing home is correct. Traditional Medicare works best with Medicaid especially for nursing facilities. Depending on their income, they could be eligible for full coverage. Medicare only covers certain services in a nursing facility and most replacement plans don't cover anything unless it specifically states that in the policy and only with a contracted facility. Traditional Medicare works best for the patient because they are likely to pay less out of pocket or nothing at all when combined with Medicaid.