Nearly two-thirds of all nursing facility residents rely on Medicaid. The proportion is even higher at facilities caring for people with developmental disabilities, where nearly 100 percent of clients are Medi-Cal beneficiaries. Unfortunately, seniors must deplete their life savings and impoverish themselves in order to become eligible for Medicaid. The objective of the Medicaid program is to provide essential medical care and services to preserve health, alleviate sickness and mitigate handicapping conditions for individuals or families receiving public assistance or whose income is not sufficient to meet their individual needs. The covered services are generally recognized as standard medical services required in the treatment or prevention of diseases, disability, infirmity or impairment.
States design their own programs within broad federal guidelines.
Thus, Medicaid programs vary from state to state. Nationally, only about 4 percent of nursing facility patient days are supported by Medicare. California slightly exceeds this national statistic, having approximately 6 percent of its long term care population supported by Medicare. Nearly 40 percent of seniors in California are enrolled in an HMO Medicare risk plan which manages their care and benefits. This number is growing.