Fix Health Care Policy

In recent weeks, liberal politicians, editorialists, and policy analysts have vigorously attacked reform of Medicare based on defined-contribution financing. In fact, this approach to reforming Medicare has a long bipartisan tradition going back to the 1980s and Representatives Richard Gephardt (D–MO) and David Stockman (R–MI). In fact, much of this criticism is distorted, misleading, or just plain wrong.

Here are some articles that set the record straight:

See the full list on The Foundry…

Tags: biased, defined contribution, Medicare, mistruths, myths, premium support system

Sen. Tom Coburn, R-Okla., left, and Sen. Richard Burr, R-N.C.,

Senators Richard Burr (R–NC) and Tom Coburn (R–OK) have just unveiled a bold Medicare reform proposal based on the free-market forces of choice and competition. The Senators’ proposal adds further momentum to the effort to reform and improve America’s largest and most challenging entitlement program.

“Premium support” is at the heart of the Burr–Coburn proposal: a financing arrangement where Medicare would make a generous contribution to health plans chosen by Medicare beneficiaries. The result would be an intense competition among health plans for enrollees’ business, just as there is today in Medicare Advantage, the Medicare Drug Program, and the 51-year old Federal Employees Health Benefits Program (FEHBP) that covers federal workers and retirees.  (Read the rest on The Foundry…)

Tags: FEHBP, Medicare beneficiaries, Medicare reform, premium support system, Sen. Richard Burr, Sen. Tom Coburn

Advocates of big-government health care have ruthlessly attacked Representative Paul Ryan’s (R–WI) proposal to reform Medicare, which would give seniors a contribution to apply to the health plan of their choice. Under this “premium support” system, insurers would compete in newly created Medicare exchanges and would face pressure to offer high-value coverage at the best price possible.

According to opponents, this would force seniors to pay for a growing portion of their health coverage as medical costs rise. But real-world examples prove that applying free-market principles to health care can in fact reduce costs and improve patient satisfaction. (Read the rest at The Foundry…)

Tags: big government, free-market principles, Medicare, ObamaCare, premium support system