Tuesday, January 08, 2008

Medicare Out of Control

Amidst the cry of "Medicare for All" comes a disconnect that begs the question. If Medicare can't control health care costs then why foist a system that pays providers 30 - 40% less than private carriers on the American public?

Medicare is the largest single provider of health care coverage in the United States. As such, they are in a position to say what is covered, what isn't and what they are willing to pay.

Medical providers who treat Medicare patients must be willing to accept the lowest reimbursement of any payor, except for the uninsured who usually pay almost nothing for care.

So how much per beneficiary did spending increase for 2006?

In all, Medicare spending increased at the fastest pace since 1981 -- nearly 19%, to $401.3 billion in 2006 from $338 billion in 2005.

So how is the government going to control health care costs and make coverage more affordable?

They aren't.
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