Between 1988 and 1998, Congress established the Medicare Savings Programs (MSPs). MSPs are Medicaid programs that subsidize the cost of Medicare premiums, deductibles, co-insurance, and other cost sharing for Medicare beneficiaries with low incomes. Although previous studies have captured some point-in-time estimates of participation in MSPs, few studies examine how participation trends in these programs have changed over time. This knowledge gap is important, because several major policy changes have been implemented over the past two decades with implications for MSP eligibility and enrollment.
Using data from the Survey of Income and Program Participation (SIPP) linked to the Medicare Enrollment Database (EDB) and Medicaid Statistical Information System (MSIS), we found that while MSP participation rates increased slowly but steadily between 2006 and 2012, policy changes implemented in 2010 do not appear to have had a significant impact on these increases, as MSP participation rates were increasing before new policies took effect and continued to increase after implementation.
As many barriers to MSP enrollment still exist, such as burdensome MSP application and recertification processes and stigma about public benefits programs, policymakers should consider continuing to identify strategies to reduce the burdens associated with applying for and maintaining MSP benefits.
This research was conducted under contract #HHSP233201600017I_75P00120F37010 between HHS/ASPE’s Office of Behavioral Health, Disability, and Aging Policy (BHDAP) and Mathematica. Additional research in this area is available at the ASPE Long-Term Services & Supports/Long-Term Care page.
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Available Reports:
- Medicare Savings Programs: Findings on Eligibility and Enrollment Trends Final Report
- Medicare Savings Programs: Findings on Eligibility and Enrollment Trends Fact Sheet
Related Resources:
- Analysis of Pathways to Dual Eligible Status: Final Report (2019) [HTML version also available]