Medicaid Insurance - History of Medicaid

Medicaid insurance began in July 1965 via Title XIX inChildren's Health Insurance Program) or programs that
the Social Security Act. The Centers for Medicare andprovide coverage for minors and indigents. States
Medicaid Services, a.k.a. CMS, oversees the programsvoluntarily participate in Medicaid, it is not mandatory
and creates the requirements, funding, quality, eligibilityyet all states do take part since Arizona created the
standards and service delivery for the state runArizona Health Care Cost Containment System
program. Each state is responsible for administering itsprogram in 1982. Although all states have one form of
own program. The Omnibus Reconciliation Act of 1990Medicaid insurance or another, the programs are not
created the Medicaid Drug Rebate Program, whichalways the same. Some states subcontract to health
added a section to the Social Security Act of 1935insurance companies that are private and other states
due to the costs that Medicaid was paying out forpay the doctors, hospitals, and clinics directly.
outpatient drugs at discounted prices. More changesMedicaid managed care encompasses programs in
came to the Medicaid Drug Rebate Program in thewhich states use companies (private) to take care of
Omnibus Reconciliation Act of 1993.various sections of their Medicaid Insurance benefits. In
Some states have created their own special titles forthese types of programs, private insurance companies
Medicaid insurance, for example Massachusetts callsare allowed direct contact with a Medicaid department
its program MassHealth, California calls its programfor a fixed price per person. When the plans pick up
Medi-Cal, Oregon Health Plan is the Medicaid Insuranceeligible people and add them to the program, they are
name in Oregon. Some states also bundle Medicaidresponsible to ensure that all Medicaid benefits are
together with other similar programs like SCHIP (Stateprovided to the eligible beneficiaries.