According to a recent Government Accountability Office (GAO) report, Medicare Advantage (MA) plans can cost more than traditional Medicare for certain services like home health care, nursing homes, and certain hospital stays. (Kaiser Network)
Under MA plans, the government pays a subsidy to private insurance companies to offer such plans, whose purpose is to keep premiums very low. In light of the GAO’s findings, the Centers for Medicare and Medicaid Services announced that it will collect additional data on private MA plans.
Democrat and House Ways and Means Health Subcommittee Chair Peter Stark and other members of his party believe reimbursement reductions are in order. “I see no reason that they have to be grossly overpaid and under-regulated.”
Republican Rep. Dave Camp (pictured above) didn’t hold back in his criticism of the report. “Clearly it’s a fake report with fake conclusions, and we’re having a fake hearing on it so we can all run to the media and make certain pronouncements…The report only looks at hypothetical beneficiaries, who use only certain types of services and enroll in a narrow selection of plans.”
Go to the GAO’s web site to download the 12-page report and/or read the abstract.
