More discussion on the Fee for Service Plans.... "The big reason why those premiums are so low is because of the federal subsidy the plans are receiving behind the scenes," Grosso said....and one other comment made stated it is a "runaway train"...a few more additional players...private companies Eastman Kodak Co., IBM Corp. and Xerox Corp. and nonprofit Deseret Mutual, which administers benefits for the Church of Jesus Christ of Latter-day Saints...BD
WASHINGTON -- Many large employers are struggling with the obligation to cover the rising medical costs of retirees, but last year officials in Michigan found a way to save at least $40 million on care for retired teachers and other public-school workers: Send the bills to Washington.
Almost overnight, by taking advantage of a little-understood feature of Medicare, the school retirement system shifted a big chunk of the healthcare costs of more than 100,000 retirees off its budget and onto the federal government. This year, the state is shifting its civil service retirees too.But as seniors switch into such private plans, Medicare Advantage is hastening the depletion of the already stressed Medicare trust fund. Some lawmakers of both parties have begun to question whether the Medicare Advantage program needs an overhaul. "It's a runaway train," said Senate Budget Committee Chairman Kent Conrad (D-N.D.). Seniors lobby AARP and the American Medical Assn. want to curtail payments to private plans.
"It fosters choice, but we don't see it driving down prices below what the cost would be under traditional Medicare," said economist Robert Reischauer, whose opinion on healthcare matters is respected on both sides of the political aisle. "There is something wrong with this picture."
0 comments :
Post a Comment