Medicare Savings Program (MSP)

The Medicare Savings Program (MSP) is a Medicaid-administered program that can assist people with limited income in paying for their Medicare premiums. Depending on your income, the MSP may also pay for other cost-sharing expenses.

When you enroll in an MSP, you will also automatically get Extra Help, the federal program that helps pay most of your Medicare prescription drug(Part D) plan costs.

There is no resource test for the MSP programs. This means many Medicare beneficiaries who may not qualify for Medicaid because of excess resources can qualify for an MSP.

There are three benefit levels.Each has a different income eligibility limit.

  • Qualified Medicare Beneficiary (QMB)
  • Specified Low Income Beneficiary (SLMB)
  • Qualified Individual (QI)

All three programs pay for the Part B Medicare Premium. If qualified, you will no longer have this premium amount deducted from your Social Security benefit.

Qualified Medicare Beneficiary (QMB): Pays for Medicare Part A premium for people who do not have enough work history to get premium free Part A. QMB also pays the Part B premium, deductibles and coinsurances. Medicaid eligibles who qualify for QMB cannot be charged Medicare co-pays.

Specified Low-income Medicare Beneficiary (SLMB): Pays the Medicare Part B premium.

Qualifying Individual (QI) Program: Pays the Medicare Part B premium.