Good list of ten myths about Medicaid (pdf).
Myth 3—Medicaid spending is out of control.
FACT: The per enrollee cost growth in Medicaid (6.1 percent) is lower than the per enrollee cost growth in comparable coverage under Medicare (6.9), private health insurance (10.6), and monthly premiums for employer-sponsored insurance (12.6).
One would think this next would be obvious, but apparently, it’s not:
Medicaid is a program that is most in demand when the country is experiencing economic difficulties. Over the past few years Medicaid spending growth increased due to a sharp rise in enrollment of children and parents in low-income families during tough economic times. However, the spending growth has moderated as the economy has improved. Although Medicaid costs continue to increase, so do health care costs throughout the American health system, indicating there is a more systemic issue of rising costs.
Myth 6—Medicaid is a welfare system for people who don’t work.
Fact: Sixty-five percent of people who receive Medicaid are from working families.
The program was originally designed to provide coverage to welfare recipients, but it was separated from the welfare system in 1996. Among those beneficiaries who are out of the workforce—such as individuals with severe disabilities—Medicaid coverage serves as a supplement to their cash assistance and provides needed health coverage.
Oh, and Medicaid isn’t one size fits all rigid, either, so there’s no earthly reason conservative governors can’t “innovate” right now. They don’t need Ryan’s plan, unless they’re planning on throwing people off:
Myth 2—Medicaid is a rigid, one size fits all program.
FACT: States have taken advantage of Medicaid’s flexibility to customize their program-about two-thirds of Medicaid spending is for “optional” services or populations. Medicaid is designed with minimum federal standards, which require states to cover certain populations and provide certain benefits to key populations. In many ways it is a system that operates as 50 separate state coverage programs, with states having the choice to cover populations and services beyond minimum standards.