What term describes individuals who qualify for Medicaid despite having income or resources above certain limits set by their state?

The term "medically needy" refers to individuals who can qualify for Medicaid coverage even though their income or resources exceed the standard limits set by their state. This designation is important because it acknowledges the often high medical expenses individuals may face, allowing them to receive essential healthcare services despite financial circumstances that would typically disqualify them from Medicaid benefits.

States may offer Medicaid to medically needy individuals through a specific pathway that allows for income and resource deductions related to medical expenses. This helps ensure that individuals who experience high medical costs, such as those with chronic health conditions or disabilities, can still access necessary medical care. By recognizing this categorization, Medicaid can provide assistance to those whose financial situation might otherwise prevent them from receiving critical health services.