Medicare Payment Cuts May Increase Cost of Private Insurance

June 10, 2010

Average family pays an extra $1,500 in premium annually

Janet Trautwein, NAHU CEO noted that the scheduled Medicare payment cuts scheduled for June 1st could substantially increase the cost of private health insurance. Medicare and Medicaid underpayments to healthcare providers are approximately twenty percent and these costs are shifted to patients with private health insurance.

HHS Secretary, Kathleen Sebelius has been quoted as saying " Californians who have health problems but no insurance will get some help from the federal health care overhaul this year…the big changes debut in 2014. Then insurers no longer will be able to deny coverage to people with pre-existing conditions" or "charge them higher premiums." In 2014, pre-existing conditions will be banned.

Other articles of interest in the June 10, 2010 NAHU Newswire include:

• Governors Plead With Congress To Approve Expanded Medicaid Funding
• Businesses Could Save Nearly $1 Trillion in Health Benefits Through Wellness, Disease-Prevention Programs

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