Medicaid Saves Lives Act This bill requires and provides funds for the Department of Health and Human Services to establish a program that provides health benefits to the Medicaid expansion population in states that have not expanded Medicaid. Specifically, the program must provide coverage for individuals who are newly eligible for Medicaid under the Patient Protection and Affordable Care Act (i.e., the Medicaid expansion population) without premiums and in accordance with Medicaid cost-sharing and other requirements. The bill also extends and increases the temporarily enhanced Federal Medical Assistance Percentage (i.e., federal matching rate) for states that elect to participate in Medicaid expansion if they have not already done so.