From The World Socialist Web Site: http://www.wsws.org/en/articles/2013/04/01/pers-a01.html
Andre Damon
1 April 2013
Following the imposition of “sequestration” budget cuts that will amount to $1.2 trillion over the next decade, Obama and the Republicans are quickly turning their attention to slashing and ultimately dismantling Medicare, the government health insurance program for the elderly in the United States.
The New York Times published an article last week detailing ongoing closed-door negotiations between the Obama administration and congressional Republicans, pointing to broad agreement between the Democrats and Republicans on a deal to cut Medicare costs.
According to the Times, “The president told House Republicans that he was open to combining Medicare’s coverage for hospitals and doctor services. That would create a single deductible that could increase out-of-pocket costs for many future beneficiaries…”
The proposal would have devastating and almost immediate consequences for millions of people. Obama and the Republicans are proposing to merge Medicare Part A, which covers hospital care, and Part B, which covers outpatient care, such as doctor visits, tests and medical procedures.
The deductible for Part A, which is used by only 20 percent of Medicare recipients in a given year, is relatively high, at around $1,200, while the deductible for Part B is intentionally set far lower, at $147, in keeping with the mission of Medicare to enable the elderly to afford the minimum level of medical care required to stay healthy and live longer.
Combining Parts A and B would increase the amount of money that elderly people have to pay for doctor visits, a move that would sharply increase out-of-pocket costs for routine care.
Continue reading at: http://www.wsws.org/en/articles/2013/04/01/pers-a01.html