Republicans' next health reform act targets Medicare

Republicans' next health reform act targets Medicare

Mark Miller


CHICAGO (Reuters) - President Donald Trump has vowed repeatedly that he “wouldn’t touch” Medicare or Social Security, but someone forgot to tell House Republicans.

While U.S. senators debate the future of the Affordable Care Act (ACA) this week, their colleagues in the House are preparing for the Republicans’ next big move on health reform. A 2018 budget resolution that the House Budget Committee approved last week calls for major Medicare reforms, along with some changes to Social Security. The most dramatic changes would raise Medicare’s eligibility age, and shift the program to a flat premium-support payment, or voucher, that beneficiaries would use to help buy either private health insurance or a form of traditional Medicare.

The budget recommends raising the Medicare eligibility age - gradually - from 65 to 67. Conservative policy experts have been calling for this shift for years, arguing it is needed to protect Medicare’s solvency in light of rising American longevity.

But the recent longevity gains are not spread evenly across the U.S. population, so higher eligibility ages would hit some people harder than others in terms of lost years of Medicare coverage. Along with the gender gap, other factors playing important roles in determining longevity are income, educational attainment and race.

And left unanswered is this question: where will these folks get health insurance while they contemplate the blessings of longer lifespans? Some might be covered by employers if they can hang on to their jobs. Medicaid might be an option for lower-income retirees, if Republicans fail in their efforts to shrink it beyond recognition.

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http://www.reuters.com/article/us-usa-healthcare-idUSKBN1AC1G0