Who Are the Dual Eligibles? May 17, 2006 Charles Milligan, JD, MPH Medicaid Commission Meeting.

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Presentation transcript:

Who Are the Dual Eligibles? May 17, 2006 Charles Milligan, JD, MPH Medicaid Commission Meeting

-2- Dual eligibles have lower incomes and more health care conditions than other Medicare beneficiaries...

-3- …and more functional impairments than other Medicare beneficiaries.

-4- On average, dual eligibles cost twice as much as other Medicare beneficiaries.

-5- Dual eligibles represent 14% of Medicaid’s enrollment, yet account for 40% of all Medicaid spending. Source: Medicare Chartbook 2005, Kaiser Family Foundation

-6- Most of Medicaid’s spending on dual eligibles is on long-term care services...

due to the lack of an extensive Medicare nursing facility benefit, compared to other Medicare benefits...

while the remainder of Medicaid spending plugs other gaps in Medicare’s benefits and cost sharing.

-9- Two-third of dual eligibles are eligible because of age; one- third because of disability.

-10- Dual eligibles include full benefit duals, and “Medicare savings” duals. Entitled to Medicare and some level of Medicaid benefits 6.2 million receive full Medicaid benefits (in addition to assistance with Medicare premiums and cost-sharing) 1.3 million receive only assistance with Medicare premiums and cost-sharing (these individuals often are called “Medicare savings” duals)

-11- “Medicare savings” duals don’t receive Medicaid benefits – just help with Medicare premiums and cost-sharing... Total Enrollment = 7.5 million

-12- …and fall into one of these four categories Table adapted from Shifting the Cost of Dual Eligibles: Implications for States and the Federal Government, Kaiser Family Foundation, November 2003

-13- Why does Medicaid supplement Medicare? Dual eligibles generally are below the poverty line – the floor is 74% FPL, the ceiling is 100% FPL Medicare does not offer a comprehensive benefit package (e.g., no coverage for most long-term care services) Medicare has a premium of $78 per month for Part B Many Medicare-covered services have a cost- sharing component

-14- Medicare decisions have a major impact on Medicaid. Cost sharing levels in Medicare Medicare Part B premiums Medicare Advantage premiums Utilization review decisions governing overlapping benefits Skilled nursing Home health DME Rx, in the aftermath of Part D Hospital discharges into nursing facilities Medicare-paid physicians order Medicaid-paid services

-15- Inpatient Hospital Inpatient Hospital Inpatient Hospital Dual Eligibles: Medicare serves as a clinical gateway to Medicaid Medicaid- Covered Outpatient Services Nursing Facility Medicaid Benefits Medicare Benefits Physician 65.4% of all nursing home admissions come from a hospital.

Questions Charles Milligan Executive Director, UMBC/CHPDM