Use of enrollment fees, premiums, deductions, cost sharing, and similar charges
Imposition of certain charges under plan in case of individuals described in section 1396a(a)(10)(A) or (E)
Subject to subsections (g), (i), and (j), the State plan shall provide that in the case of individuals (other than, beginning
no enrollment fee, premium, or similar charge will be imposed under the plan (except for a premium imposed under subsection (c));
no deduction, cost sharing or similar charge will be imposed under the plan with respect to—
services furnished to individuals under 18 years of age (and, at the option of the State, individuals under 21, 20, or 19 years of age, or any reasonable category of individuals 18 years of age or over),
services furnished to pregnant women, if such services relate to the pregnancy or to any other medical condition which may complicate the pregnancy, and counseling and pharmacotherapy for cessation of tobacco use by pregnant women (as defined in section 1396d(bb) of this title) and covered outpatient drugs (as defined in subsection (k)(2) of section 1396r–8 of this title and including nonprescription drugs described in subsection (d)(2) of such section) that are prescribed for purposes of promoting, and when used to promote, tobacco cessation by pregnant women in accordance with the Guideline referred to in section 1396d(bb)(2)(A) of this title (or, at the option of the State, any services furnished to pregnant women),
services furnished to any individual who is an inpatient in a hospital, nursing facility, intermediate care facility for the mentally retarded, or other medical institution, if such individual is required, as a condition of receiving services in such institution under the State plan, to spend for costs of medical care all but a minimal amount of his income required for personal needs,
emergency services (as defined by the Secretary), family planning services and supplies described in section 1396d(a)(4)(C) of this title,
services furnished to an individual who is receiving hospice care (as defined in section 1396d(o) of this title),
any in vitro diagnostic product described in section 1396d(a)(3)(B) of this title that is administered during any portion of the emergency period described in such section beginning on or after
COVID–19 testing-related services for which payment may be made under the State plan,
during the period beginning on
during the period beginning on
vaccines described in section 1396d(a)(13)(B) of this title and the administration of such vaccines; and
any deduction, cost sharing, or similar charge imposed under the plan with respect to other such individuals or other care and services will be nominal in amount (as determined by the Secretary in regulations which shall, if the definition of “nominal” under the regulations in effect on
Imposition of certain charges under plan in case of individuals other than those described in section 1396a(a)(10)(A) or (E)
The State plan shall provide that in the case of individuals other than those described in subparagraph (A) or (E) of section 1396a(a)(10) of this title who are eligible under the plan—
there may be imposed an enrollment fee, premium, or similar charge, which (as determined in accordance with standards prescribed by the Secretary) is related to the individual’s income,
no deduction, cost sharing, or similar charge will be imposed under the plan with respect to—
services furnished to individuals under 18 years of age (and, at the option of the State, individuals under 21, 20, or 19 years of age, or any reasonable category of individuals 18 years of age or over),
services furnished to pregnant women, if such services relate to the pregnancy or to any other medical condition which may complicate the pregnancy, and counseling and pharmacotherapy for cessation of tobacco use by pregnant women (as defined in section 1396d(bb) of this title) and covered outpatient drugs (as defined in subsection (k)(2) of section 1396r–8 of this title and including nonprescription drugs described in subsection (d)(2) of such section) that are prescribed for purposes of promoting, and when used to promote, tobacco cessation by pregnant women in accordance with the Guideline referred to in section 1396d(bb)(2)(A) of this title (or, at the option of the State, any services furnished to pregnant women),
services furnished to any individual who is an inpatient in a hospital, nursing facility, intermediate care facility for the mentally retarded, or other medical institution, if such individual is required, as a condition of receiving services in such institution under the State plan, to spend for costs of medical care all but a minimal amount of his income required for personal needs,
emergency services (as defined by the Secretary), family planning services and supplies described in section 1396d(a)(4)(C) of this title,
services furnished to an individual who is receiving hospice care (as defined in section 1396d(o) of this title),
any in vitro diagnostic product described in section 1396d(a)(3)(B) of this title that is administered during any portion of the emergency period described in such section beginning on or after
COVID–19 testing-related services for which payment may be made under the State plan,
during the period beginning on
during the period beginning on
vaccines described in section 1396d(a)(13)(B) of this title and the administration of such vaccines; and
any deduction, cost sharing, or similar charge imposed under the plan with respect to other such individuals or other care and services will be nominal in amount (as determined by the Secretary in regulations which shall, if the definition of “nominal” under the regulations in effect on
Imposition of monthly premium; persons affected; amount; prepayment; failure to pay; use of funds from other programs
The State plan of a State may at the option of the State provide for imposing a monthly premium (in an amount that does not exceed the limit established under paragraph (2)) with respect to an individual described in subparagraph (A) or (B) of section 1396a(l)(1) of this title who is receiving medical assistance on the basis of section 1396a(a)(10)(A)(ii)(IX) of this title and whose family income (as determined in accordance with the methodology specified in section 1396a(l)(3) of this title) equals or exceeds 150 percent of the income official poverty line (as defined by the Office of Management and Budget, and revised annually in accordance with section 9902(2) of this title) applicable to a family of the size involved.
In no case may the amount of any premium imposed under paragraph (1) exceed 10 percent of the amount by which the family income (less expenses for the care of a dependent child) of an individual exceeds 150 percent of the line described in paragraph (1).
A State shall not require prepayment of a premium imposed pursuant to paragraph (1) and shall not terminate eligibility of an individual for medical assistance under this subchapter on the basis of failure to pay any such premium until such failure continues for a period of not less than 60 days. The State may waive payment of any such premium in any case where the State determines that requiring such payment would create an undue hardship.
A State may permit State or local funds available under other programs to be used for payment of a premium imposed under paragraph (1). Payment of a premium with such funds shall not be counted as income to the individual with respect to whom such payment is made.
Premiums for qualified disabled and working individuals described in section 1396d(s)
Prohibition of denial of services on basis of individual’s inability to pay certain charges
Charges imposed under waiver authority of Secretary
No deduction, cost sharing, or similar charge may be imposed under any waiver authority of the Secretary, except as provided in subsections (a)(3) and (b)(3) and section 1396o–1 of this title, unless such waiver is for a demonstration project which the Secretary finds after public notice and opportunity for comment—
will test a unique and previously untested use of copayments,
is limited to a period of not more than two years,
will provide benefits to recipients of medical assistance which can reasonably be expected to be equivalent to the risks to the recipients,
is based on a reasonable hypothesis which the demonstration is designed to test in a methodologically sound manner, including the use of control groups of similar recipients of medical assistance in the area, and
is voluntary, or makes provision for assumption of liability for preventable damage to the health of recipients of medical assistance resulting from involuntary participation.
Individuals provided medical assistance under section 1396a(a)(10)(A)(ii)(XV) or (XVI)
With respect to individuals provided medical assistance only under subclause (XV) or (XVI) of section 1396a(a)(10)(A)(ii) of this title—
a State may (in a uniform manner for individuals described in either such subclause)—
require such individuals to pay premiums or other cost-sharing charges set on a sliding scale based on income that the State may determine; and
require payment of 100 percent of such premiums for such year in the case of such an individual who has income for a year that exceeds 250 percent of the income official poverty line (referred to in subsection (c)(1)) applicable to a family of the size involved, except that in the case of such an individual who has income for a year that does not exceed 450 percent of such poverty line, such requirement may only apply to the extent such premiums do not exceed 7.5 percent of such income; and
such State shall require payment of 100 percent of such premiums for a year by such an individual whose adjusted gross income (as defined in section 62 of the Internal Revenue Code of 1986) for such year exceeds $75,000, except that a State may choose to subsidize such premiums by using State funds which may not be federally matched under this subchapter.
In the case of any calendar year beginning after 2000, the dollar amount specified in paragraph (2) shall be increased in accordance with the provisions of section 415(i)(2)(A)(ii) of this title.
Indexing nominal cost sharing
State option to impose income-related premiums for families of disabled children
With respect to disabled children provided medical assistance under section 1396a(a)(10)(A)(ii)(XIX) of this title, subject to paragraph (2), a State may (in a uniform manner for such children) require the families of such children to pay monthly premiums set on a sliding scale based on family income.
A premium requirement imposed under paragraph (1) may only apply to the extent that—
in the case of a disabled child described in that paragraph whose family income—
does not exceed 200 percent of the poverty line, the aggregate amount of such premium and any premium that the parent is required to pay for family coverage under section 1396a(cc)(2)(A)(i) of this title and other cost-sharing charges do not exceed 5 percent of the family’s income; and
exceeds 200, but does not exceed 300, percent of the poverty line, the aggregate amount of such premium and any premium that the parent is required to pay for family coverage under section 1396a(cc)(2)(A)(i) of this title and other cost-sharing charges do not exceed 7.5 percent of the family’s income; and
the requirement is imposed consistent with section 1396a(cc)(2)(A)(ii)(I) of this title.
A State shall not require prepayment of a premium imposed pursuant to paragraph (1) and shall not terminate eligibility of a child under section 1396a(a)(10)(A)(ii)(XIX) of this title for medical assistance under this subchapter on the basis of failure to pay any such premium until such failure continues for a period of at least 60 days from the date on which the premium became past due. The State may waive payment of any such premium in any case where the State determines that requiring such payment would create an undue hardship.
No premiums or cost sharing for Indians furnished items or services directly by Indian health programs or through referral under contract health services
No cost sharing for items or services furnished to Indians through Indian health programs
In general
No reduction in amount of payment to Indian health providers
Rule of construction
Special rules for certain expansion individuals
Premiums
Required imposition of cost sharing
In general
Limitations
Exclusion of certain services
Item and service limitation
In general
Special rules for prescription drugs
Maximum limit on cost sharing
Cases of nonpayment
Specified individual defined
For purposes of this subsection, the term “specified individual” means an individual who has a family income (as determined in accordance with section 1396a(e)(14) of this title) that exceeds the poverty line (as defined in section 1397jj(c)(5) of this title) applicable to a family of the size involved and—
is enrolled under section 1396a(a)(10)(A)(i)(VIII) of this title; or
is described in such subsection and otherwise enrolled under a waiver of the State plan that provides coverage that is equivalent to minimum essential coverage (as described in section 5000A(f)(1)(A) of the Internal Revenue Code of 1986 and determined in accordance with standards prescribed by the Secretary in regulations) to all individuals described in section 1396a(a)(10)(A)(i)(VIII) of this title.
State defined
Source
(Aug. 14, 1935, ch. 531, title XIX, § 1916, as added Pub. L. 97–248, title I, § 131(b),Notes
Editorial Notes
References in Text
Amendments
Statutory Notes and Related Subsidiaries
Effective Date of 2022 Amendment
Effective Date of 2010 Amendment
Effective Date of 2009 Amendment
Effective Date of 2006 Amendment
Effective Date of 1999 Amendment
Effective Date of 1997 Amendment
Effective Date of 1989 Amendment
Effective Date of 1988 Amendment
Effective Date of 1987 Amendment
Effective Date of 1986 Amendment
Effective Date of 1983 Amendment
Effective Date
Except as provided in paragraph (2), the amendments made by this section [enacting this section and amending section 1396a of this title] shall become effective on
In the case of a State plan for medical assistance under title XIX of the Social Security Act [42 U.S.C. 1396 et seq.] which the Secretary of Health and Human Services determines requires State legislation in order for the plan to meet the additional requirements imposed by the amendments made by this section, the State plan shall not be regarded as failing to comply with the requirements of such title solely on the basis of its failure to meet these additional requirements before the first day of the first calendar quarter beginning after the close of the first regular session of the State legislature that begins after the date of the enactment of this Act [