DeSPURado
09-17-2004, 07:59 AM
Private Plans Costing More for Medicare
By ROBERT PEAR
Published: September 17, 2004
WASHINGTON, Sept. 16 - Members of Congress expressed concern on Thursday about new data indicating that Medicare pays private health plans more than it would cost to care for the same patients in the traditional Medicare program.
Lawmakers of both parties raised questions about the payments, which were increased under the new Medicare law to entice more private plans to participate in Medicare.
About 4.7 million of the 41 million Medicare beneficiaries, or 11.5 percent, are in health maintenance organizations and other private plans, now known as Medicare Advantage plans.
"The majority of seniors in traditional fee-for-service Medicare should not subsidize the minority of seniors in private plans," said Senator Olympia J. Snowe, Republican of Maine.
Senator Jeff Bingaman, Democrat of New Mexico, said that "large overpayments to H.M.O.'s were built into the bill" that Congress passed last year, and he asked why people in traditional Medicare should bear the cost of such "subsidies."...
NYTimes (http://www.nytimes.com/2004/09/17/politics/17medicare.html)
By ROBERT PEAR
Published: September 17, 2004
WASHINGTON, Sept. 16 - Members of Congress expressed concern on Thursday about new data indicating that Medicare pays private health plans more than it would cost to care for the same patients in the traditional Medicare program.
Lawmakers of both parties raised questions about the payments, which were increased under the new Medicare law to entice more private plans to participate in Medicare.
About 4.7 million of the 41 million Medicare beneficiaries, or 11.5 percent, are in health maintenance organizations and other private plans, now known as Medicare Advantage plans.
"The majority of seniors in traditional fee-for-service Medicare should not subsidize the minority of seniors in private plans," said Senator Olympia J. Snowe, Republican of Maine.
Senator Jeff Bingaman, Democrat of New Mexico, said that "large overpayments to H.M.O.'s were built into the bill" that Congress passed last year, and he asked why people in traditional Medicare should bear the cost of such "subsidies."...
NYTimes (http://www.nytimes.com/2004/09/17/politics/17medicare.html)