Medicare is a federally funded health insurance program for seniors 65 and above, as well as some younger people with disabilities. In states where it is implemented, Medicaid is a joint federal-state program that provides health coverage to low-income residents.

Medicaid may have trouble purchasing generic versions of drugs or other essential medical equipment and may have less money for discretionary procedures. The inability to charge Medicaid patients a price for no-shows at medical institutions is an additional drain on already tight budgets.

Medicaid and the Children’s Health Insurance Program (CHIP) provide low-cost or free health care to millions of qualified Americans, including those with low incomes, pregnant women, the elderly, and those with disabilities.