Medicaid Definition

Medicaid is the US health program for low-income families and individuals. Medicaid is jointly funded by the federal and state governments and is administered by the states. Medicaid is the largest source of funding for medical services directed at people with limited income. Medicaid qualification procedures are complicated and simply being low-income does not guarantee qualification for benefits. Medicaid was created in 1965 and is known as an entitlement program because of its funding mechanism. Individuals interested in Medicaid should contact their state’s administrative offices, which will not necessarily be called simply Medicaid. For example, in Tennessee the Medicaid program is widely referred to as TennCare.