Understanding Medicaid

The Medicaid program was introduced as the Medicare and Medicaid Act, also known as the Social Security Amendment act by President Lyndon B. Johnson on July 30, 1965.

Medicaid is a federal health insurance program for individuals with limited incomes that is jointly financed by state and federal sources. The program is administered by individual states with broad federal guidelines. 

Medicare is a federal program that provides health coverage if you are 65+ or under 65 and have a disability, no matter your income. 

As long as you meet the federal qualifications for Medicare eligibility and the state-specific qualifications for Medicaid eligibility, you will qualify as a dual-eligible recipient.

NJ FamilyCare is New Jersey's publicly funded, federal and state funded, health insurance program created to help qualified New Jersey residents of any age access affordable health insurance. Qualified NJ residents of any age may be eligible for free or low cost health insurance that covers doctor visits, prescriptions, vision, dental care, mental health and substance use services and even hospitalization.

More recently, The Deficit Reduction Act of 2005, which became effective January 1, 2006 instituted a 5 year look back period from the date of a completed application submission. Previously it had been a 3 year look back period. This is where we remain today.

As part of NJ FamilyCare, The Work First New Jersey (WFNJ) program is funded by the State of New Jersey with a budget line item through the Department of Human Services (DHS). The program is administered on a county level by local county welfare agencies (CWAs).

The State of New Jersey could potentially contribute to funeral service & disposition expenses through the Department of Human Services (DHS).

The maximum amount the state will contribute for funeral home services & merchandise is $ 3,056.00. The contribution for the cemetery or crematory portion of expenses is $ 714.00 for a combined, total contribution of $ $ 3,770.00.

The state allows interested parties to contribute toward a public assistance funeral. interested parties can apply supplementation to funeral home costs, cemetery costs or both. However, the state limits how much supplementation is allowed.

The supplementation cap is $1,570 for individuals aged two and over. If the family contributes more than $1,570 the state will reduce payment dollar for dollar or exclude the decedent from eligibility entirely.

The decedent's assets cannot be used to supplement their own funeral service & disposition expenses. These assets will be collected by the State of NJ as part of the state’s asset recovery. A decedent's assets will not affect the reimbursement received by Funeral Directors and Cemeteries.

For more information, please call our office at (856) 854-2846 or please feel free to e-mail us with any thoughts or questions that you may have: dennis@crerancelebration.com Follow Creran Celebration on Facebook, Instagram, YouTube and X @crerancelebration 

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