By using this site, you agree to the Privacy Policy and Terms of Use.
Accept
Health Works CollectiveHealth Works CollectiveHealth Works Collective
  • Health
    • Mental Health
    Health
    Healthcare organizations are operating on slimmer profit margins than ever. One report in August showed that they are even lower than the beginning of the…
    Show More
    Top News
    degree for healthcare job
    What Are The Health Benefits Of Having A Degree?
    March 9, 2022
    custom software development is changing healthcare
    Digital Customer Journey Mapping and its Importance for Healthcare
    July 21, 2022
    tips for getting drugs from an online pharmacy
    How to Get Prescriptions Online Reliably and Cost-Effectively
    November 9, 2022
    Latest News
    Beyond Nutrition: Everyday Foods That Support Whole-Body Health
    June 15, 2025
    The Wide-Ranging Benefits of Magnesium Supplements
    June 11, 2025
    The Best Home Remedies for Migraines
    June 5, 2025
    The Hidden Impact Of Stress On Your Body’s Alignment And Balance
    May 22, 2025
  • Policy and Law
    • Global Healthcare
    • Medical Ethics
    Policy and Law
    Get the latest updates about Insurance policies and Laws in the Healthcare industry for different geographical locations.
    Show More
    Top News
    Congresswoman’s Staff Renews Call for Funding of Care for Complex Head Injuries
    April 22, 2011
    More On Wellness Programs To Improve Health and Reduce Costs
    January 25, 2012
    Squandering Medicare’s Money
    June 9, 2011
    Latest News
    Top HIPAA-Compliant Messaging Apps for Healthcare Teams
    June 25, 2025
    When Healthcare Ends, the Legal Process Begins: What Families Should Know About Probate and Medical Estates
    June 20, 2025
    Preventing Contamination In Healthcare Facilities Starts With Hygiene
    June 15, 2025
    Strengthening Healthcare Systems Through Clinical and Administrative Career Development
    June 13, 2025
  • Medical Innovations
  • News
  • Wellness
  • Tech
Search
© 2023 HealthWorks Collective. All Rights Reserved.
Reading: Will ObamaCare Finally Cause American Seniors to Turn Against Government Health Care?
Share
Notification Show More
Font ResizerAa
Health Works CollectiveHealth Works Collective
Font ResizerAa
Search
Follow US
  • About
  • Contact
  • Privacy
© 2023 HealthWorks Collective. All Rights Reserved.
Health Works Collective > Policy & Law > Health Reform > Will ObamaCare Finally Cause American Seniors to Turn Against Government Health Care?
Health ReformPolicy & LawPublic Health

Will ObamaCare Finally Cause American Seniors to Turn Against Government Health Care?

John Graham
Last updated: December 5, 2013 9:10 am
John Graham
Share
5 Min Read
pic_giant_051012_C
SHARE

Most Americans are now aware of the disastrous rollout of ObamaCare health-insurance exchanges for privately insured people. However, this has sidelined discussion of the pain that ObamaCare is inflicting on Medicare beneficiaries.

pic_giant_051012_C

Most Americans are now aware of the disastrous rollout of ObamaCare health-insurance exchanges for privately insured people. However, this has sidelined discussion of the pain that ObamaCare is inflicting on Medicare beneficiaries.

pic_giant_051012_C

More Read

US healthcare system
3 Ways to Improve the U.S. Healthcare System By 2030
Health Insurance Claims & Plans: Understanding The ICHRA
Social Media and FDA Regulation for Medical Devices
Action Item: We Need Open Access to Scholarly Research Now – A Petition to Sign
People in High-Deductible Plans Short-Change Prevention

On November 16, The Wall Street Journal reported that UnitedHealth Group has dropped thousands of doctors in at least ten states from its Medicare Advantage networks. This is a consequence of the federal government’s cutting payments to Medicare Advantage plans ― by $156 billion over ten years ― to fund ObamaCare. Earlier this month, Evan Gahr of the Daily Caller wrote an article describing how plans nationwide are shrinking, and citing a report by consultants at Avalere which projected reduction in Medicare Advantage plans, especially in rural areas. 

Traditional Medicare comes in three parts: Part A is the hospital benefit. It is funded by payroll deduction during beneficiaries’ working years. Unfortunately, because the number of working people is shrinking relative to the number of retirees, future payroll deductions will not fully fund hospitalization costs. Part B, which pays for outpatient physician costs is funded 25 percent by premiums deducted from seniors’ Social Security deposits, and three quarters by federal taxpayers. Part D, which pays for prescription drugs, is funded one eighth by premiums and seven eighths by taxpayers.

Unsurprisingly, Medicare is a fantastically popular program amongst the elderly ― just don’t remind them that they are devouring their children’s and grandchildren’s prosperity. This table, prepared by Pamela Villarreal and Devon Herrick of the National Center for Policy Analysis shows that Medicare’s future costs will be $43 trillion dollars more than the amount expected to be collected by the government to pay Medicare benefits.

Medicare Advantage is an option chosen by 27 percent of Medicare beneficiaries. Medicare Advantage bundles the hospital, physician, and prescription drug parts of Medicare together, and allows beneficiaries to have comprehensive health coverage from one health plan.

Medicare’s fiscal crisis is not a problem that Medicare Advantage solves. However, Medicare Advantage does address another problem. Traditional Medicare Parts A and B pays hospitals and doctors according to government-dictated fee schedules. The government’s experts decide what a service is worth.

William Hsiao, the economist who designed the Medicare Prospective Payment System, determined Medicare’s fees as follows: “He put together a large team that interviewed and surveyed thousands of physicians from almost two dozen specialties. They analyzed what was involved in everything from 45 minutes of psychotherapy for a patient with panic attacks to a hysterectomy for a woman with cervical cancer. They determined that the hysterectomy takes about twice as much time as the session of psychotherapy, 3.8 times as much mental effort, 4.47 times as much technical skill and physical effort, and 4.24 times as much risk. The total calculation: 4.99 times as much work. Eventually, Hsiao and his team arrived at a relative value for every single thing doctors do.” (Rick Mayes and Robert A. Berenson, Medicare Prospective Payment and the Shaping of U.S. Health Care, Baltimore: Johns Hopkins University Press, 2006, p. 86.)

Now, that’s what I call central planning! Because Medicare has not dominated the U.S. health system, and because one quarter of Medicare beneficiaries have been able to escape the price fixing, American seniors have not experienced denial of access to care. Surveys show adequate access ― for now.

However, ObamaCare has accelerated Medicare’s crisis. It is increasingly clear that Obamacare needs to be repealed and replace with alternative reforms. The opportunity to reform Medicare alongside it might be an added benefit.

TAGGED:Medicareobamacareseniors
Share This Article
Facebook Copy Link Print
Share

Stay Connected

1.5kFollowersLike
4.5kFollowersFollow
2.8kFollowersPin
136kSubscribersSubscribe

Latest News

women dental care
What Is a Smile Makeover and How Much Does It Cost?
Dental health
June 30, 2025
HIPAA-Compliant Messaging Apps
Top HIPAA-Compliant Messaging Apps for Healthcare Teams
Global Healthcare Policy & Law Technology
June 25, 2025
recovering from injury
Rebuilding After Injury: Path to Physical and Emotional Recovery
News
June 22, 2025
scientist using microscope
When Healthcare Ends, the Legal Process Begins: What Families Should Know About Probate and Medical Estates
Global Healthcare
June 18, 2025

You Might also Like

Halloween Alert! Can You Really Be Scared to Death?

October 26, 2012

Pharma and the Empowered, Educated Patient

September 20, 2011
Baby care jobs
Public HealthSpecialties

A Baby Has Special Health Care Needs

October 17, 2012

Is There Too Much Screening for Heart Disease?

June 21, 2011
Subscribe
Subscribe to our newsletter to get our newest articles instantly!
Follow US
© 2008-2025 HealthWorks Collective. All Rights Reserved.
  • About
  • Contact
  • Privacy
Welcome Back!

Sign in to your account

Username or Email Address
Password

Lost your password?