Changes to Health Care for Those Over Age 65

Four significant news items are noted this week that affect health care for those over age 65. Collectively, the changes will significantly ease the nation's health care delivery crisis. The four items concerned employer-provided health plans, HSAs, discount drug cards, and Medicare supplement alternatives.

(PRWEB) April 28, 2004 --OnlineAdviser News announced four significant items that emerged this past week affecting health insurance for those over age 65:
1)    A federal ruling now allows Medicare to be the primary payer for employees covered by Medicare, making their group health insurance much less expensive. Previously, this would have been considered an act of age discrimination against older workers. This change affect 12 million workers and is welcome by employees and labor unions. AARP opposes the change. Employers seeking to change their group health plans should consult an independent adviser – this change will not be automatic and insurance companies may not be helpful at this time.
2)    Federal employees over age 65 who enroll in a qualified high deductible health insurance plan and would be eligible for a health savings account (HSA) except for the federal age 65 limitation on HSAs will be offered an equivalent option under a health reimbursement arrangement (HRA). This decision is not binding on private industry employers, but is likely to set a precedent, especially for labor union negotiations. A chart showing the differences between HSAs and HRAs can be found at some OnlineAdviser Web sites.
3)    Suspicions are beginning to be confirmed by health industry sources that the benefits offered under the Medicare discount drug card are not better than the benefits in the (usually) free discount drug cards already available in the market. Almost all Americans now have access to the same discount cards at little or no cost (either as part of their health plan or as a stand-alone discount card). This comment does not apply to low-income Medicare beneficiaries who receive an extra $600 benefit.
4)    Problems with availability and pricing of Medicare supplement insurance is pushing some to consider the supplemental basic health insurance plan like at MedSave (.com). Unlike most Medicare supplement plans, this insurance is available regardless of health history but disappears after age 70.

Considering these four items and other recent health industry news, it appears that significant changes are now being made at a speedy pace in the delivery of heath care in response to our national crisis. After years of complete deadlock and many political stalemates, it now seems at least possible that by Novembers presidential election the health care reform platform could be deflated.

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