General Discussion
Related: Editorials & Other Articles, Issue Forums, Alliance Forums, Region ForumsMedicare Advantage is a 15-year failed experiment in privatization.
Sarah Kliff had a good summary. Most of the proposed savings come from reducing overpayments to Medicare Advantage and reducing reimbursement rates to hospitals.
What should you know about these changes?
Medicare Advantage is a 15-year failed experiment in privatization. Running Medicare through private insurance companies was supposed to save money through the magic of the marketplace; in reality, private insurers, with their extra overhead, have never been able to compete on a level playing field with conventional Medicare. But Congress refused to take no for an answer, and kept the program alive by paying the insurers substantially more than the costs per patient of regular Medicare. All the ACA does is end this overpayment.
As for the cuts in hospital reimbursement, the key thing to know is that the hospital industry itself negotiated those cuts.
http://krugman.blogs.nytimes.com/2012/08/22/understanding-medicare-cuts/
Old Codger
(4,205 posts)When I had an advantage account it cost me more out of pocket than without it, no advantage at all...
fascisthunter
(29,381 posts)eridani
(51,907 posts)It is with a consumer-owned non-profit HMO. (Basically regular Medicare bennies plus dental.) Since the HMO isn't overcharging me, they won't be docked.
stufl
(96 posts)to compensate for it's lack of competitiveness with Medicare. The ACA removes that subsidy and, among other things, reduces the cost for prescription drugs in the donut hole by 50%. I assisted seniors in selecting Medicare Part D providers and those who needed help in the donut hole will SCREAM if and when it's taken away.
Not only is Romney lying, he is gonna' be cursed by those who voted for him for taking this valuable benefit. He really does not understand that which he says.
Dragonfli
(10,622 posts)will admit it.
Or perhaps not, I think it has more to do with contributions from said vultures than it has to do with common sense or reality.