Michealle Gady

    Healthcare Question of the Week: Does healthcare reform mean seniors will suffer?

    Posted January 26th, 2011 by

    Q: I supported health care reform and was so elated when it passed, however . . . Now I hear of cuts in payments to doctors for Medicare. Many doctors refuse Medicare patients already, but with more cuts there will be no medical care for seniors. Supplement plans won’t cover anything that Medicare doesn’t cover, or doctors that don’t take Medicare. Health insurance for seniors is a near impossibility. So does health care reform mean health care on the back of seniors?

    A: No. Many people with Medicare have heard that their doctors are facing a substantial decrease in their Medicare payments. This decrease is unlikely to actually happen and is unrelated to health reform. In fact, the Affordable Care Act provides a 10 percent increase in Medicare payments for primary care providers.

    The problem with doctors’ payments and Medicare stems from a payment mechanism for doctors called the sustainable growth rate (SGR) enacted by Congress in 1997. After a few years, it became evident that the payment formula was flawed and was leading to steep reductions in Medicare’s payments to doctors. In response, Congress has delayed these reductions from happening almost every year for the last seven years. Unfortunately, Congress has not replaced the formula with a new one. As a result, doctors now face a more than 20 percent payment reduction if Congress does not act. It’s very likely that Congress will pass another extension that prevents the payment reductions from actually taking place. Hopefully, over the next year or so, Congress will come up with a longer-term solution.

    There have been some media reports that people with Medicare are having a hard time finding doctors. But, a recent study by the Medicare Payment Advisory Committee—the committee that advises Congress on how Medicare should pay for services—shows that people with Medicare are not having a harder time finding doctors then the privately insured population. People with all forms of insurance sometimes have trouble finding a doctor, because there are not enough primary care doctors and other types of doctors in some parts of the country. To address that, the Affordable Care Act makes significant investments in new and existing programs that will increase the number of health care providers and clinics where people will be able to get needed health care services.

    The Affordable Care Act dedicates $11 billion over the next 5 years to build new and expand existing community health clinics. It also dedicates $1.5 billion to bring more primary care providers to areas where there is a shortage of these providers. The health reform law also makes key investments in creating new or expanding existing scholarship, loan repayment, and training programs to attract more people to become doctors, nurses, dentists, and other health care professionals. Finally, the law establishes new workforce commissions at the state and federal levels that will be responsible for monitoring the health care workforce, determining what needs there may be and where, and advising Congress on how best to address any needs of the health care system.

    Unfortunately, opponents of the Affordable Care Act have been relentless in their attacks and seniors and people with disabilities have been disproportionately subjected to lies and misinformation leaving them with the impression that health care was improved for others at their expense. But that isn’t true. Medicare has been improved through the Affordable Care Act. The long-term sustainability of the program has been extended by 12 years and people with Medicare will see improvements to their benefits, including closing the prescription drug doughnut hole and free preventive services like cancer screenings.

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    5 Comments

    April 16, 2011 at 10:20 am by ron

    I see an orthopedic surgeon for may joint related problems stemming from a genetic disorder that makes my joints weak. At 58 I faced with a shoulder re4placement and my other shoulder needs a rotator cuff repair. He told me under the new medicare guidelines he makes more money doing a scope on a knee that if he did a total knee. How many people who need a total knee will ne turned down because of this?. I knowhow much pain is associarted with a knee that needsreplacewment. In the 90′s surgeon didnot replace knees in younger people because they only lasted 15 years. When I finally had my total knee it had affected my metal health because of the pain. My anxiety was sky high.When I got off work I could not lift my leg intothe car and I would weep from the pain. When I had the surgery done the surgeon had never seen the endsof bones bleed so bad as mine and he feared I had bone cancer. The bleeding was cause by the bone on bone wear of my knee. We can’t throw out the baby with the bath water. Those who need knee surgery should not be turned down because the surgeon won’t get paid enough for the long surgery.

    [Reply]

    January 27, 2011 at 10:26 am by Chris

    I hear what you are saying. But how can there not be cuts in the Medicare program when the affordable care act includes $500 billion cuts in Medicare costs through cost saving initiatives? I work in healthcare and while there are administrative saving opportunities in the healthcare system through electronic medical record systems and improved claims and billing, those savings will never add up to $500 billion. Suffice it to say that the healthcare industry will see a significant portion of that $500 billion taken out of their revenue streams, either through hospital, pharmacy, or medical reimbursement. There is no way to cut that much that doesn’t affect providers.

    I would liken this scenario to the public education debate where we all would agree that any significant cuts in education funding would end up hurting our kids ability to get a good education.

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    January 27, 2011 at 1:01 am by What is Working

    There are indeed many myths about Health Care Reform. I am encouraged that the word is finally getting out. Articles like yours are so important. Thank you for your efforts.

    If there is any silver lining to the Republican move to repeal the bill, it is that is makes folks take notice and in many cases stand up for the law.

    The White House is distributing a new story about Health Care every day. It is very inspiring to hear about ordinary folks who are benefiting from the bill.

    http://www.whatisworking.com/2010/12/voices-of-health-reform.html

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    January 26, 2011 at 4:06 pm by Medicareblogger

    Great answer to the question, but the detail you provide demonstrates the challenge we face. Slogans like “death panels” and “Medicare cuts” stick like glue in the minds of the uninformed. Will Americans listen to the details?

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    January 26, 2011 at 3:18 pm by Anita

    Michelle, thank you for this post. Your expert knowledge is so valuable and helpful. I’m sharing this with my own parents now.

    [Reply]

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