Medicare Savings Programs (MSP)

Medicare Savings Programs (MSP) pay part of your Medicare premium, deductibles, and co-insurance fees. These programs are administered by your state and can vary from one to the next. Some states only offer one of the four different MSP levels, while others have all four options available. In general, the MSP programs are meant to help people with limited incomes who are not receiving Social Security disability benefits or Medicaid. You must reapply for MSP every year. Your application will usually require you to provide your income information and assets. Depending on your state, this may be done through a local Medicaid office or your county Social Services department. You should receive a letter informing you when your MSP recertification is due each year.

Eligibility

The QMB, SLMB, and QDWI programs help pay your Medicare premiums, deductibles, and copays. To qualify for these programs, you must meet the following requirements:

• You must have a Medicare Part A and Part B Medicare card.
• You must have a low income.
• You must live in the United States.
• You must have a minimum of $8,400 in assets (for an individual) or $12,600 in assets (for a couple).
• The asset limits are lower for some states.
• The program is also available to people who do not have Medicaid.
• You can still apply for a Medicare Savings Program if you have an income above the limit.

If you’re under 65 and working with a disability, you may be eligible for the Qualifying Individual program, which pays your Medicare Part B premium. You’ll also be able to avoid copays for services and items that Medicare covers. The program has higher income limits than other MSPs. You’ll have to reapply each year. These limits are not adjusted for inflation. SLMB and QI recipients are also eligible for Part D Extra Help.

How to Apply for a Medicare Savings Program?

The Medicare Savings Program application process varies by state. You can contact your local Medicaid office to learn about application steps, submission options (online, mail, appointment at community health centers and other organizations), required documentation, and income calculation rules. In general, a person’s countable assets must be less than twice the limit used in the Supplemental Security Income (SSI) program. Some states only offer one of the four different MSP levels, while others have all four options available. In general, the MSP programs are meant to help people with limited incomes who are not receiving Social Security disability benefits or Medicaid.

You must reapply for MSP every year. Your application will usually require you to provide your income information and assets. Depending on your state, this may be done through a local Medicaid office or your county Social Services department. You should receive a letter informing you when your MSP recertification is due each year.