House Moves To Stave Off Automatic Medicare Cuts Triggered By Deficit
Without intervention, Medicare faces mandatory 2% spending cuts under sequestration now that the latest stimulus bill has been enacted. House Majority Leader Steny Hoyer says the chamber will vote next week on a measure to reset the pay-as-you-go amounts.
Modern Healthcare:
House To Vote On Pause To Medicare Sequester Cuts
The U.S. House of Representatives will vote next week on extending a pause on Medicare cuts to providers, just weeks before they are scheduled to take effect. The 2% cut, which took effect since 2013, was temporarily lifted by Congress in December in response to the pandemic and its effect on providers' finances. The cut will take effect again April 1 without congressional action, but hospitals are pushing hard for another moratorium. (Hellmann, 3/11)
The Hill:
House To Advance Bill Preventing Automatic Medicare Cuts
Statutory pay-as-you-go laws require that legislation that increases the deficit be offset. Without offsets, automatic spending cuts from mandatory programs, known as sequestration, go into effect. While programs such as Social Security are exempt, Medicare can lose up to 4 percent and a slew of means-tested anti-poverty programs could be wiped out without action. Without a law to reset the pay-as-you-go amounts, the massive $1.9 trillion coronavirus-relief measure would require the White House Office of Management and Budget to issue a report at the end of the calendar year that would trigger the sequestration. (Elis, 3/11)
In other Medicare news —
CNBC:
You Can Still Change Medicare Advantage Plan For 2021. What To Know
If you’ve discovered your 2021 Medicare Advantage Plan is not a good fit for you, now is the time to do something about it. Through the end of March, Advantage enrollees can either drop their plan and return to basic Medicare (Part A hospital coverage and Part B outpatient care) or switch to another Advantage Plan. (O'Brien, 3/11)
Stat:
Medicare Spending On Neurology Drugs Jumped While Claims Barely Budged
During a recent five-year period, Medicare spending on hundreds of medicines to treat various neurologic conditions, such as epilepsy and multiple sclerosis, rose 50%, but the number of claims increased only 8%, according to a new study. Consequently, Medicare spent $4 billion in 2013 but doled out $6 billion by 2017 for these treatments. (Silverman, 3/11)
Modern Healthcare:
Medicare Model Not Right For All, Some Analysts Argue
Interest in a universal public option modeled on or linked to Medicare is growing as healthcare costs rise, but some analysts are saying the interest is based on faulty assumptions. On its surface, the policy sounds appealing—it could expand health insurance access and lower overall healthcare costs. A study released on March 1 by the Kaiser Family Foundation found the eye-catching results that if commercial and individual insurance paid providers at Medicare rates, it would reduce healthcare spending by 41% in 2021, or $350 billion. (Tepper, 3/11)
