Tag Archives: CMS

Gag Order Does Not Apply to the Censors

During the debate over ObamaCare last fall, the Administration threatened health insurance companies who were informing seniors of potential losses of Medicare Advantage (MA) benefits.  As far as I could tell, the mailings were completely truthful and consistent with the CBO and CMS estimates.  Medicare’s Chief Actuary, for example, predicts that eventually as many as 7.4 million beneficiaries will lose their MA plan altogether and another 7.4 million will experience a loss of benefits.

This week the very same agency that gagged the insurers is sending out a propaganda pamphlet to more than 40 million Medicare beneficiaries – extolling the benefits of the new law, but ignoring all the costs (including the fact that more than half the cost of health reform is to be paid for by reduced Medicare spending).  The pamphlet even claims that MA enrollees will be better off!

Republicans are outraged [gated].  CMS says it only wants to help seniors avoid confusion.  But won’t the biggest confusion come when their MA plans are cancelled?

House Bill Has Bad News for Seniors: Two-Thirds Would Lose Medicare Advantage Plans

This is from the Centers for Medicare and Medicaid Services (CMS) Chief Actuary’s report:

  • “Providers for whom Medicare constitutes a substantive portion of their business could find it difficult to remain profitable and might end their participation in the program (possibly jeopardizing access to care for beneficiaries).” [Page 8]
  • “The Medicare Advantage rebate cuts would result in “less generous benefit packages.”  [Page 8]
  • “Enrollment in MA plans would decrease by about 64 percent.” [Page 8]
  • “The additional demand for health services could be difficult to meet initially with existing health provider resources and could lead to price increases, cost-shifting, and/or changes in providers’ willingness to treat patients with low-reimbursement health coverage.” [Page 14]

Health Reform Policy Update

What guaranteed issue and community rating mean in New York: $9,036 a year for individual coverage and $26,460 for family coverage.

Senate Finance Committee bill online with 1,502 pages: Hillary Clinton’s health care bill was only 1,342 pages.

Heritage: Under the Baucus bill, 90 million Americans will be on Medicaid/SCHIP in 2019.

CMS repeals gag order: Insurers can tell seniors about how Medicare Advantage Plans are going to be gutted.

Hawaii, with its own employer mandate, wants to opt out of health reform.