Changes Made in Senate Health Care Reform Bill That
Impact Senior Citizens
Sen. Baucus presents amended version of Finance
Committee bill; changes in Medicare, Medicaid provisions
Sept. 22, 2009 – A number of modifications were
added to the Chairman’s Mark of the America’s Healthy Future Act today
by Senate Finance Committee Chairman Max Baucus (D-Mont.) and many of
these changes could directly impact senior citizens.
A statement from the Senator’s office said, “The
modifications focus largely on making care more affordable for low and
middle income Americans by increasing the Health Care Affordability Tax
Credit, lowering the penalties for people who fail to meet the
individual requirement to have health insurance and increasing the High
Cost Insurance Excise Tax threshold for people whose basic health care
is more expensive.”
Baucus called the modification the first step in an
important process that will continue to improve the bill.
“My modification to the Chairman’s Mark focuses on
making health care more affordable for middle class families, while
ensuring the legislation reduces the deficit and effectively slows the
growth of skyrocketing health care costs,” said Baucus.
“This modification incorporates important ideas
from my colleagues on both sides of the aisle. Crafting a bill that
addresses all of the concerns of our broken health care system is no
easy task, and I’m confident that, working together, we are even closer
to that goal today. The legislative process is an important one and I
look forward to improving this bill as it advances in the coming days
and weeks.”
Baucus introduced his Chairman’s Mark of this
health care reform bill on September 16.
His announcement today said the legislation is
designed to make it easier for families and small businesses to buy
health care coverage, ensure Americans can choose to keep the health
care coverage they have if they like it and slow the growth of health
care costs over time.
“It will bar insurance companies from
discriminating against people based on health status, denying coverage
because of pre-existing conditions, or imposing annual caps or lifetime
limits on coverage. The bill will improve the way the health care system
delivers care by improving efficiency, quality and coordination,” his
statement said.
The modified Chairman’s Mark released today is
estimated to cost less than $900 billion and will not add to the federal
deficit, Baucus said.
The Finance Committee began considering the
modification of the Chairman’s Mark today.
The full text and summary of the original
Chairman’s Mark to the America’s Healthy Future Act as well as of the
full text of the modification to the Chairman’s Mark is available on the
Finance Committee website at
www.finance.senate.gov.
The changes that appear to directly impact senior
citizens are summarized below.
Modifications to Senate Bill Impacting Senior Citizens
Reducing health care costs for older Americans
– the modified Chairman’s Mark would reduce costs for older Americans by
lowering the amount by which insurance companies could vary premiums
based on age. The policy would prohibit insurance companies from varying
premiums by more than a ratio of 4:1 for age. This policy was submitted
by Senator Wyden as amendment C9 and Senator Kerry as amendment C15.
Preserving employer-sponsored retiree coverage
– The modified Chairman’s Mark would help employers struggling with
rising health care costs to continue to provide health care benefits to
retirees without increasing premiums. The policy would add $5 billion to
the reinsurance program to apply to employer-sponsored retiree coverage.
This policy was submitted by Senators Kerry and Stabenow as amendment
C7.
Protecting Seniors in Medicare
Improving the Medicare Advantage benefit stability for seniors in high
cost areas –
The modified Chairman’s Mark would preserve Medicare Advantage (MA)
benefit stability for seniors living in high cost areas where plans
deliver benefits below the average cost of traditional Medicare. This
policy grandfathers MA plans in areas where plans currently bid at or
below 85 percent of traditional fee-for-service Medicare to deliver
benefits, so plans will continue to offer the plans they currently offer
and pay what they currently pay to deliver benefits for existing
beneficiaries only.
Making prescription drugs more affordable for seniors
– The modified Chairman’s Mark would make prescription drugs more
affordable by making the co-payment for full-benefit, dual-eligible
seniors who are receiving Home and Community Based Services (HCBS )
equal to co-payments for dual-eligible seniors who reside in long-term
care facilities. This policy was submitted by Senator Rockefeller as
amendment D6, by Senator Bingaman as amendment D4, and Senator Nelson as
amendment D4.
Improving beneficiary access to services
– The modified Chairman’s Mark would improve beneficiary access to
primary and preventive care by adding a modified version of the Medicare
Fracture Prevention and Osteoporosis Testing Act (S.769). This policy
would improve beneficiary access to bone density tests. This policy was
submitted by Senator Lincoln as amendment D2.
Improving hospice care in Medicare
– The modified Chairman’s Mark would create a three-year Medicare
Hospice Concurrent Care (HCC) demonstration program that would allow
patients who are eligible for hospice care to also receive all other
Medicare-covered services during the same period of time. This policy
would ensure people in hospice do not have to give up the prospect of a
cure. This policy was submitted by Senator Wyden as amendment D1.
Creating Options for Long Term Services and Supports
Improving access for low-income individuals –
The modified Chairman’s Mark would improve access to Home and Community
Based Services (HCBS) for low income individuals in Medicaid who are in
need of long term care. This policy was submitted by Senator Kerry as
amendment C16.
Creating nursing home alternatives –
The modified Chairman’s Mark would create incentives for states to offer
Home and Community Based Services (HCBS) as alternatives to nursing
homes for people in need of long term care. This policy was submitted by
Senator Cantwell as amendment C1.
Creating choices for disabled individuals
– The modified Chairman’s Mark would create Home and Community Based
Service (HCBS) alternatives to nursing home care for disabled
individuals who are eligible for Medicaid. This policy was submitted by
Senator Schumer as amendment C13.
Improving the Medicaid Program
Improving access to mental health care in Medicaid –
The modified Chairman’s Mark would establish a three-year, $75 million
demonstration project that would allow Medicaid funding to be directed
to non-publicly owned and operated psychiatric hospitals for some
Medicaid beneficiaries. This policy was submitted by Senator Snowe as
amendment D1.
Help for high-need states
– The modified Chairman’s mark would provide help for states that will
experience a significant increase in Medicaid enrollment due to the size
of their current programs and their current rates of unemployment. These
states would receive full federal funding for newly eligible Medicaid
beneficiaries for five years.
Other Areas
Incentivizing generic prescription drugs
– The modified Chairman’s Mark would create a specific exemption to
allow health plan sponsors to encourage beneficiaries to utilize
lower-cost generic drugs by allowing them to waive co-pays as an
incentive. This policy was submitted by Senator Stabenow as amendment
D11.
Using surplus Medicaid funds
– The modified Chairman’s Mark would use funds from the existing
Medicaid Improvement Fund (MIF) for improvements to the Medicaid
program.
Removing mandate for Medicaid prescription drug –
The modified Chairman’s Mark would remove a provision from the original
Chairman’s Mark that requires states to cover prescription drugs for all
Medicaid beneficiaries.
Reducing waste in long term care pharmacies –
The modified Chairman’s Mark would direct the Secretary of Health and
Human Services to implement programs to reduce waste in the way drugs
are dispensed to seniors in long term care facilities.
Keep up with the latest news for senior citizens, baby
boomers
Sept. 22, 2009 – A number of modifications were
added to the Chairman’s Mark of the America’s Healthy Future Act today
by Senate Finance Committee Chairman Max Baucus (D-Mont.) and many of
these changes could directly impact senior citizens. 