Arizona Medicare Savings Programs 2026: QMB, SLMB & QI

Arizona is one of the states that applies no asset test to its Medicare Savings Programs, so savings and property do not stand between a senior and the benefit. The three programs, run by AHCCCS, wipe out or sharply reduce the $202.90 monthly Part B premium and, for the broadest tier, Medicare Part A and Part B deductibles and copays.

What Are Medicare Savings Programs, and How Do They Work in Arizona?

Medicare Savings Programs are Medicaid-administered benefits that pay some or all of a low-income Medicare beneficiary's premiums and cost-sharing. QMB, SLMB, and QI are defined by income relative to the Federal Poverty Level (FPL): QMB at or below 100% FPL, SLMB above 100% through 120% FPL, and QI above 120% through 135% FPL.1

In Arizona, the programs are administered by the Arizona Health Care Cost Containment System (AHCCCS), the state's Medicaid agency, using the QMB, SLMB, and QI-1 labels. AHCCCS determines financial eligibility and ongoing enrollment for all three tiers.1

The income figures in this guide are the federal effective limits published by the Social Security Administration, which build in a $20 general income disregard. AHCCCS publishes the same tiers on its own chart as household income after deductions, so its numbers sit $20 lower ($1,330 single at 100% FPL for QMB, $1,804 for a couple). The gap between the two sets of figures is that disregard, not a difference in Arizona's rule. Applicants with wages get an additional earned-income disregard on top of the $20.1

Arizona Has No Asset Test for Medicare Savings Programs

Arizona counts no resources at all for QMB, SLMB, and QI. On the AHCCCS Eligibility Requirements chart, the "Resource Limits (Equity)" column reads "N/A" for the QMB, SLMB, and QI-1 rows, on the same chart that shows $2,000 for ALTCS long-term care. A senior with substantial savings, a paid-off home, and investments still qualifies, as long as they are entitled to Medicare Part A and monthly income is within the program band.1

This matters because the national Medicare Savings Program picture is different. Under federal rules, most states cap countable resources at $9,950 for one person and $14,910 for a couple in 2026. Arizona does not apply that limit.1

Do not confuse the Medicare Savings Programs with full Arizona Long Term Care System (ALTCS) Medicaid, which does apply an asset test of $2,000 for a single applicant. The Medicare Savings Programs stand apart: income is the only financial test.2

QMB: Qualified Medicare Beneficiary

QMB is the most valuable of the three programs. In 2026 it covers:

• The Medicare Part A premium, if any (most beneficiaries have premium-free Part A from 40 or more work quarters)
• The Medicare Part B standard premium, $202.90 per month in 20263
• The Part A inpatient hospital deductible, $1,736 per benefit period in 2026
• The Part B annual deductible, $283 in 2026
• All Part A and Part B coinsurance and copays for Medicare-covered items and services

In 2026, Arizona's QMB income limit is at or below $1,350/month for a single person and $1,824/month for a couple, with no resource limit.1 These Part B and Part A cost figures are the national 2026 Medicare amounts.3

For a single Arizona senior on Social Security, QMB eliminates the $2,434.80 annual Part B premium and the $283 Part B deductible, more than $2,700 a year before any hospital or outpatient cost-sharing, and it also erases Part A and Part B copays and coinsurance.3 QMB's cost-sharing protection covers Part A and Part B; prescription drug costs are handled separately, through Part D Extra Help, which every QMB enrollee is automatically deemed eligible for.1

SLMB: Specified Low-Income Medicare Beneficiary

SLMB pays one benefit: the Medicare Part B premium. At the 2026 standard rate of $202.90 per month, that is $2,434.80 per year in direct savings.3

In 2026, Arizona's SLMB income band runs above the QMB limit up to $1,616/month for a single person and $2,184/month for a couple, again with no resource limit.1

SLMB does not pay deductibles or copays. But for a beneficiary with few medical claims, the Part B premium is the dominant out-of-pocket cost, and SLMB removes it. SLMB enrollment also triggers automatic Part D Extra Help.

QI: Qualifying Individual

QI covers the Part B premium only, the same as SLMB, but at a higher income band. In 2026, Arizona's QI income limit runs above the SLMB band up to $1,816/month for a single person and $2,455/month for a couple, with no resource limit.1

Three structural differences set QI apart from QMB and SLMB:

1. First-come, first-served. QI is funded through a capped federal allotment, so enrollment is allocated on a first-come, first-served basis with a preference for prior-year enrollees. Unlike QMB and SLMB, which are entitlements, QI enrollment is not guaranteed.
2. You must apply every year. Being selected for QI in one year does not entitle you to continued assistance in any later year, so a QI enrollee has to reapply annually to stay in the program.1
3. Mutually exclusive with Medicaid. QI-1 requires that the applicant not be receiving Medicaid benefits. QMB and SLMB carry no such bar, so someone who has full AHCCCS Medicaid and meets the QMB or SLMB income test gets their Medicare cost-sharing help through one of those two instead.1

Like SLMB, QI enrollment triggers automatic Part D Extra Help.

Full Program Comparison

QMB sits at 100% FPL, SLMB spans 100% to 120% FPL, and QI spans 120% to 135% FPL. None of the three applies an asset test in Arizona.1 These are the federal income standards, not an absolute cutoff: states can effectively raise them by disregarding certain income, so someone somewhat over should apply rather than rule themselves out.1

The QMB Billing Protection

Federal law (Social Security Act Sec. 1902(n)(3)) prohibits Medicare providers and suppliers, including pharmacies, from billing a QMB enrollee for Medicare cost-sharing. A QMB enrollee has no legal obligation to pay Part A or Part B deductibles, coinsurance, or copayments for any Medicare-covered item or service.1

If you are a QMB enrollee and receive a bill for a deductible, coinsurance, or copay:

• Tell the provider you are enrolled in QMB and cite the federal balance-billing prohibition.
• Show your AHCCCS eligibility notice or your Medicare card with the QMB indicator.
• Call 1-800-MEDICARE (1-800-633-4227) to file a complaint.4
• Contact the Arizona State Health Insurance Assistance Program (SHIP), run through the Arizona Department of Economic Security, for free help disputing the charge.

Because a QMB enrollee has no legal obligation to pay that cost-sharing, an improper charge is one to dispute rather than pay, even if it has already gone to collections. Arizona SHIP and 1-800-MEDICARE can help you get it withdrawn.

Part D Extra Help Comes Automatically

All three Arizona Medicare Savings Programs automatically confer the full Part D Extra Help, also called the Low-Income Subsidy (LIS). No separate application is required. Under the 2026 benefit structure, full Extra Help enrollees pay no more than $5.10 per generic prescription and $12.65 per brand-name drug, and $0 once out-of-pocket drug costs reach the $2,100 catastrophic threshold.5

AHCCCS reports your MSP enrollment to CMS, which deems you full-subsidy eligible. If you are not yet in a Part D plan, CMS auto-assigns you to a zero-premium benchmark plan. For a senior filling several prescriptions a month, Extra Help can add substantial drug-cost savings on top of the Part B premium benefit.

How the Part B Premium Deduction Stops

Once AHCCCS approves a Medicare Savings Program, the state pays your Part B premium (and, for QMB, the Part A premium) under a Section 1843 "state buy-in" agreement. The federal government then bills Arizona and stops deducting the premium from your Social Security check.6

Buy-in is established through a data exchange between AHCCCS and CMS rather than instantly at approval. States with buy-in agreements must exchange that data with CMS daily under 42 CFR 407.40(c)(4), so an infrequent exchange is not the cause, but you may still see the premium withheld for one or more months after approval. The exact length of that lag is not fixed by any published federal figure and varies by state and by case, so do not read a delay as a denial. Once buy-in coverage is effective, SSA refunds any premiums deducted from your benefit for a month you were enrolled in buy-in, and that refund is not counted as income. If your premium comes out of a Social Security, RRB, or OPM benefit, that deduction can continue for a month or more, and SSA refunds every month you were covered by buy-in. If instead CMS bills you directly, which it does when you do not receive one of those benefits, keep paying that bill until buy-in is actually in effect: the only exception CMS states to the premium obligation is a state already paying under a buy-in agreement, and unpaid premiums can end your Part B coverage.6

How to Apply for Arizona Medicare Savings Programs

There is no separate paper form for the Medicare Savings Programs in Arizona. You apply for the same benefit online, by phone, or through the Social Security Administration.

After you apply, AHCCCS reviews your income and sends a written decision. Because the state buy-in that stops your Part B deduction is established through a state-CMS data exchange rather than the instant you are approved, apply as early as you can; any premiums withheld while buy-in catches up are refunded to you by SSA.6

Where to Get Help

Learn More

Find personalized help applying for Arizona Medicare Savings Programs at brevy.com.

The information on Brevy.com is for educational purposes only and is not a substitute for professional legal, financial, or medical advice. Rules vary by state and program and change frequently. Always verify with the relevant agency or a qualified professional. Brevy is not a law firm, financial advisor, or healthcare provider.