Medicare
Medicare is the name given to the health insurance system managed by the Government of the United States and intended for people over 65 or meet certain criteria. The name comes from a contraction between "medical" (medical) and "care". The first law which established Medicare was enacted July 30, 1965 during the presidency of Lyndon B. Johnson as amendments to the legislation of social security, as part of its draft "war against poverty". During the passage of the law, President Johnson said of former President Harry S. Truman's first recipient from the program, delivering the first Medicare card.
Financing and cost
Medicare is partially financed by taxes imposed by the law of contribution for federal employment assistance and health in 1954. For employees, the tax represents 2.9% of salary (half is paid by the employee, the other by the employer). Until December 31, 1993, the law provided a maximum amount beyond which the salary could not be imposed. But from 1 January 1994, this limit was removed. For independent. Tax is 2.9% on net income paid in full by him.
The fiscal year 2002 (2004 figure), Medicare cost 256.8 billion U.S. dollars: USD 230.9 billion were financed by taxes, the rest by the government.
In 2003, Medicare accounted for 13% of the U.S. federal budget. Calculations of the CMS, 33% of every dollar spent on health care in the United States is supported by Medicare and Medicaid. In the other direction, Medicare and Medicaid covered 61% of expenditures in nursing, 47% of hospital expenditure and 27% of medical expenses.
Medicare has indeed a very large cost for poor results because the cost of the system is due to the high prices of private and Medicare should cover.
Operation
In general, individuals can receive assistance from Medicare if they (themselves or their spouses) contributed at least 10 years, are aged over 65 and live permanently in the United States.
Individuals who are under 65 years may also be eligible provided they are disabled or be at the final stage of kidney disease. These people need to be eligible to receive aid either the Social Security Fund is financing the retirement pensions of rail workers.
In 2005, Medicare provided coverage of diseases for 42.5 million Americans. With the arrival of the baby boomers retire, experts estimate that 77 million Americans are covered by Medicare.
The Medicare program is divided into two funds: a hospital insurance and medical insurance fund. Two other special funds include: a cover that is combined with private insurance, and coverage for detoxification.
However, none of these funds will fully fund the cost of care. The program provides for the payment of insurance, deductible expenses, but the individual must pay a large part of his pocket (out-of-pockets costs). Other government programs such as Medicaid, to help pay certain expenses associated with Medicare. Programs such as Medigap help bridge the difference, however, that these assurances are legally established by the CMS, they are sold and administered by private companies.
See also Health Insurance
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