for a while now, Democrats lawmakers sought to reduce the amount the government pays private health insurance companies that provide. replacement Medicare coverage, such as Medicare Advantage.
Medicare Advantage plans provide eligible Americans the opportunity to receive their health benefits through a private insurer rather than the government.
But recent research has found insurers get paid about 14 percent more than what the government spends on regular people Medicare Parts A and B, for example.
This is why it is a target for Democrats, who want to reduce payments to Medicare Advantage to save money and redirect to other health reform efforts.
According to Wall Street Journal , which is exactly what President Obama has in mind. The president wants to cut some $ 117 billion over the next decade these Medicare Advantage plans.
Obviously, the health industry is not so much to support such deep cuts. They argue it will lead to higher premiums, cut benefits or abandonment of certain geographic markets completely, writes the Journal.
But Democrats argue the higher payments are not needed and the money could be better used.
So, firstly, we have Medicare Advantage plans that offer several times more personalized coverage and lower cost option for older Americans. On the other hand, we inflated payments that could be reduced to provide more additional health reform funding.
Let the debate begin.
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