Which statement best describes Medicaid compared to Medicare?

• A. Medicaid is a means-tested program for low-income individuals and families; Medicare is a federal program primarily for those aged 65+ or with certain disabilities.
• B. Medicaid is a federal program for seniors; Medicare is means-tested.
• C. Medicaid and Medicare are the same program.
• D. Medicaid covers only private plan holders.

Answer: (A)

Medicaid and Medicare differ in who they serve and how they’re funded. Medicaid is a means-tested program for low-income individuals and families, with eligibility based on income and resources and administered with state involvement (albeit funded jointly by federal and state governments). Medicare is a federal program primarily for people aged 65 and older or those with certain disabilities, and it is not means-tested. This contrast makes the statement describing Medicaid as means-tested for low-income groups and Medicare as a federal program for seniors or certain disabled individuals the best fit. Other options mix up who is eligible or the nature of the programs, or claim something about private-plan coverage that isn’t accurate for Medicaid.