AMA Moving to Change Medicare financing

A Medicare card, with several areas of the card obscured to protect privacy. There are separate lines for Part A and Part B, each with its own date. There are no lines for Part C or D, as a separate card is issued for those benefits by the private insurance company.

The American Medical Association House of Delegates, meeting in Chicago, voted to explore alternative ways of financing Medicare.

The AMA Council on Medical Service -- which recommends policies and actions on socioeconomic factors affecting medicine -- presented a report on options for changing the current way of financing Medicare.

The report recommended building on "existing policies to support making Medicare a defined contribution program," and urged the doctors to vote in favor of a resolution to support "transitioning Medicare to a premium support program," Clinical Endocrinology News reported.

Currently, the Medicare program is a defined benefit program which guarantees enrollees receive a package of healthcare benefits. The defined contribution -- or premium support program -- has Medicare pay beneficiaries a finite amount of money to purchase health insurance privately on their own.

A few days before the meeting, Council on Medical Service Dr. Tom Sullivan said in a statement the report's favored resolution was withdrawn because the council "believes there is a need to put in additional work on a revised report."

However, the Louisiana delegation succeeded in bringing the resolution back on the table and the resolution was hotly debated during a committee meeting.

Dr. Nancy Nielsen, the immediate past-president of the AMA, cautioned against moving quickly and said a wrong move could raise the ire of senior citizens during an election year.

he AMA voted to direct the council to report back to the AMA at its interim meeting -- after the U.S. election in November, Clinical Endocrinology News said.

Source: YellowBrix

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