by Kay B. Day
Tonight at 8 p.m. we’ll have another episode of Obama TV, with President Barack Obama addressing a joint session of Congress about healthcare. Hopefully the president will be honest with Americans about legislation that will affect a significant part of our economy and a very private aspect of our lives. AARP tried to clear confusion about various proposals in the organization’s Bulletin (Sept., ’09), print edition.Unfortunately even AARP managed to muddy some waters.
There’s a feature about the proposals Congress is considering. The feature aims at clearing up “myths.” Within that feature there’s the question, ‘Will Medicare be eliminated or gutted to pay for reform?” The answer: “No. It’s inconceivable...” Then the “facts” are presented. After stating “It’s true” the proposals “seek to save billions from Medicare costs,” the writer assures us the government aims to pay doctors “more fairly” and to “reward providers for quality of care instead of (as now) paying them a fee for each separate service; reducing waste and fraud; and reducing preventable hospital readmissions.”
There’s truth submerged in what follows: “All the proposals would cut the amount of subsidies now paid to Medicare Advantage private plans, which cost an average of 14 percent more per person than traditional Medicare does.” So we ditch the subsidies and that could make those private plans more efficient. But said AARP, cutting subsidies could also cause private plans to “raise premiums, reduce benefits or withdraw from Medicare.” AARP said the proposals will add more preventive services and might narrow the Part D “doughnut hole.” [pg.16]
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