The 2011 Medicare Trustee report estimates that the Medicare Advantage Hospital Insurance trust fund, for inpatient hospital and related care, will go bankrupt in 2024, five years earlier than predicted in the previous report. Also, in the 2011 report, the trustees estimated Medicare’s unfunded accountability to total $24.6 trillion.
President Obama’s health care law authorizes a panel of 15 unelected, unaccountable bureaucrats to independently decide what Medicare Plan will and will not cover. Particularly, the 2010 law proposes to control costs by granting this new bureaucracy — called the Independent Payment Advisory Board — the authority to cut Medicare payments to doctors and other health providers. But this approach of twisting screws on physicians, of depending on price controls to extract savings from a financially broken program, cannot work. Either provider will exit the system or seniors can expect to see access to health services severely limited. Indeed, the nonpartisan chief actuary of the Medicare program foresees that under the president’s health care law, 15 percent of hospitals will go bankrupt by 2019. This number rises to 40 percent by 2050.
The House-passed budget initiates by making no structural changes for those who are presently enrolled in Medicare or will enroll in the next decade. Medicare supplement plans will function precisely as it does today for those who are 55 and older. For younger workers, Medicare will provide a list of guaranteed coverage options from which beneficiaries can choose the one that best suits their needs.
For more information please visit us @ www.medigap4seniors.com, , or call us at 888-502-5553 to speak with one of our Medicare experts.