Congressman Jay Inslee thinks the Republican plan to privatize Medicare is a bad idea. The Republican proposal by Republican Congressman Ryan would basically shift the burden of paying for Medicare from the nonprofit public sector onto seniors. The costs would increase dramatically over time to seniors as the voucher proposal is static and would not increase over time.
In addition as medical costs increase, seniors would be asked to pay these increased costs as well as salary increases for private health care administrators, financial returns to investors and shareholders and rising costs due to inflation.
As noted in a recent press release from the Center for Economic and Policy Research:
“The Ryan plan does nothing to control private-sector waste in health care costs,” said David Rosnick, an author of the report. “As a result of the waste in the private system, beneficiaries will end up paying substantially more for Medicare, in effect paying a hefty new tax on their health care.”
The report, “Representative Ryan’s $30 Trillion Medicare Waste Tax,“ documents the potential effects of replacing Medicare with a system of vouchers or premium supports and raising the age of eligibility from 65 to 67 as suggested in the Ryan plan, which was passed by the House of Representatives with almost unanimous support from Republicans and no votes from Democrats. The authors note that each voucher under the plan will initially be worth $6,600, but would be frozen at this amount over the program’s 75-year planning window, paying less and less of a beneficiary’s health care costs over time.
In addition to comparing the costs of Medicare to the government under the current system and under the Ryan plan, the authors also show the effects of raising the age of Medicare eligibility. The paper also demonstrates that while Ryan shifts $4.9 trillion in health care costs from the government to Medicare beneficiaries, this number is dwarfed by a $34 trillion increase in overall costs to beneficiaries that is projected based on the Congressional Budget Office’s analysis”.
The following is an email sent out by Democratic Congressman Jay Inslee stating how he feels about this Republican plan and urges you to sign a petition opposing this blatant effort to end Medicare as we know it and shift the costs unto seniors instead: