At the present time, 28% of all seniors over the age of 65 get their medical coverage through a Medicare Advantage insurance plan. These plans provide healthcare for seniors at a lower cost than those incurred by the Medicare plan itself. The plans function by having the government simply pass on what it would have paid for average individuals which, in turn, is used as premiums by the plans. For some plans, there are additional costs; for example, the largest of the Medicare Advantage plans, the one run by United Healthcare and AARP has insurance with better benefits than Medicare for an additional $20 per month.
Today, we learned that the government is going to cut the reimbursement to these plans by 2.3% next year. There already was a cut planned for medicare advantage that was part of Obamacare. The 2.3% is a further cut which is to be made by the government. So medical costs are rising, but the government wants the plans to get less.
The simple truth is that this is just another move by the Obamacrats to try to drive private insurers out of the healthcare market. A cut of 2.3% may not seem like much, but for many plans it means the elimination of all profit by the insurer. If that happens, the companies will undoubtedly drop out of the market. That will throw millions of seniors back into the regular medicare pool which will raise the costs of the medicare program. Of course, if one's goal is to end up with healthcare which is paid for in its entirety by the federal government, forcing insurance companies out of the market makes sense. After all, if there is no alternative to government run healthcare, it will be the final result for sure.
It is despicable that president Obama and the Obamacrats feel that they have to operate in such a dishonest way to achieve their goals. They know that the American people will not agree to government run healthcare, so they are slowly and methodically killing off the alternatives.
Today, we learned that the government is going to cut the reimbursement to these plans by 2.3% next year. There already was a cut planned for medicare advantage that was part of Obamacare. The 2.3% is a further cut which is to be made by the government. So medical costs are rising, but the government wants the plans to get less.
The simple truth is that this is just another move by the Obamacrats to try to drive private insurers out of the healthcare market. A cut of 2.3% may not seem like much, but for many plans it means the elimination of all profit by the insurer. If that happens, the companies will undoubtedly drop out of the market. That will throw millions of seniors back into the regular medicare pool which will raise the costs of the medicare program. Of course, if one's goal is to end up with healthcare which is paid for in its entirety by the federal government, forcing insurance companies out of the market makes sense. After all, if there is no alternative to government run healthcare, it will be the final result for sure.
It is despicable that president Obama and the Obamacrats feel that they have to operate in such a dishonest way to achieve their goals. They know that the American people will not agree to government run healthcare, so they are slowly and methodically killing off the alternatives.
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