Both the American Medical Assn. and AARP announced yesterday their support for the House version of healthcare reform, and to me this is a big deal.
Seniors enrolled in Medicare Advantage plans will almost certainly face benefit reductions or higher premiums following reform because of funding cuts to the program. The cuts may be fair and justified, but that doesn’t mean there won’t be a backlash among the 10 million or so seniors enrolled in Medicare Advantage plans (I called AARP for comment, but didn’t hear back by presstime). AARP’s support means the organization will be on the front lines educating members why reform is necessary and why it’s good for the 50-plus crowd. Says AARP:
Today’s endorsement marks the first time in this legislative battle that AARP has put its full weight behind a comprehensive health care reform package. In the coming days, AARP will be informing its members about the health care reform package through its publications, paid advertising and more than 5 million calls and e-mails to its grassroots activists.
AARP notes the House bill would eliminate the Medicare Part D donut hole and allow the government to negotiate drug prices (two things I’ve been calling for since the Part D program’s inception), strengthen the financial status of the Medicare trust fund, expand preventive care for Medicare, lower insurance costs for AARP individuals age 50 to 64 (i.e., those not yet eligible for Medicare) and create a voluntary long-term care insurance program. That’s a pretty good sell; that said, there will be seniors in Medicare Advantage plans who need convincing.
As for AMA, it’s support of the House legislation is tied to the Medicare payment fix for physicians — which is actually a separate bill from the reform legislation. In other words, docs are signing on in exchange for not having to deal with the perennial issue of looming cuts to physician payments from Medicare. So the question is will AMA still support the House bill if it doesn’t get the physician fix? AMA doesn’t offer a clear answer. But healthcare attorney Bruce Merlin Fried of Sonnenschein, Nath & Rosenthal does: he says AMA won’t get the fix, but will still end up supporting the legislation.
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