Health Care Reform – Medicaid eligibility

The House Ways and Means Committee approved H.R. 2576 a bill to that would affect eligibility determination in 2014 for Medicaid and the subsidies for health insurance coverage under the Affordable Care Act. The bill makes changes to how the modified adjusted gross income (MAGI) is calculated. MAGI is used in determining eligibility for the programs.  The bill requires that the MAGI include all Social Security Income including disability and survivor benefits rather than just the taxable amount of Social Security.  The Congressional Budget Office estimates that there may be a net loss in health insurance coverage with between 500,000 and one million people losing Medicaid eligibility in 2014 and after. Many of these individuals may be eligible for premium subsidies in the health insurance exchanges.

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