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About Low-Cost Health Insurance Plans for Low-Income Missourians

Health insurance provides financial protection against the steep expenses of medical care. Unfortunately, health insurance premiums are not affordable for everyone, leaving many individuals without adequate medical coverage. Despite the rising price of health insurance premiums, Missouri residents have access to low-cost health insurance from both public and private sources.

  1. Medicaid

    • Missouri's Medicaid program is both federally and state-subsidized medical coverage designed to assist low-income residents acquire low- or no-cost medical care from quality health providers. The Missouri Family Support Division regulates qualification guidelines for Medicaid in the state, as well as patient cost-sharing requirements and claims processing. Most enrollees do not pay for coverage, but may have some co-pay requirements. Households with covered children and with incomes between 150 and 300 percent of the federal poverty limit pay between one and five percent of total income in monthly premiums.

    Income and Eligibility

    • To qualify for Missouri Medicaid, applicants must meet income and categorical qualifications. For example, the MO HealthNet program typically covers enrollees in categories that include children, individuals, parents of children, pregnant women, disabled individuals, blind people and the elderly. Income qualification guidelines vary by category, providing free or low-cost health coverage for children from households with incomes of up to 300 percent of the federal poverty limit, whereas parents of children only qualify with household incomes below 21 percent of the federal poverty limit.

    Low-Cost Private Health Plans

    • Missouri Medicaid only covers one in six residents, and many residents do not qualify for government-subsidized health insurance. Instead, those who do not qualify for Medicaid rely on employer health plans and privately purchased individual health plans to gain medical coverage. Unfortunately, many private health plans are expensive and have high out-of-pocket cost-sharing. Policyholders can lower their monthly premiums by purchasing a health savings account-qualified insurance policy, which allows the policyholder to open a medical savings account and make tax-exempt contributions. The HSA-qualified insurance policy comes with a higher deductible, but the policyholder can save money with lower premiums and tax-free medical accounts.

    Missouri Health Insurance Exchange

    • Beginning in January 2014, Missouri will offer a health insurance exchange from which small businesses and individuals may purchase private health plans. Missouri residents with household incomes below 400 percent of the federal poverty limit who purchase private health insurance through the health insurance exchange will receive government tax credits to make the premiums more affordable. According to a June 2010 report from the U.S. Senate Democratic Policy Committee, the Congressional Budget Office expects the federal government to provide $8.4 billion in premium tax credits between 2014 and 2018 alone.

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