Two years ago, liberals rushed through their first installment of the Green New Deal (aka, the Inflation Reduction Act), which raided Medicare to pay for Biden’s weird obsession with windmills, solar panels, and batteries.
This summer, the Biden-Harris administration acknowledged the impending financial distress for Medicare drug plans that UP senior fellow and University of Chicago economics professor Casey Mulligan and his colleague Tomas Philipson warned about. The administration proposed a temporary bailout for insurers to prevent huge premium hikes from hitting before the election. They labeled the bailout with the Orwellian title of “demonstration.”
We expect the cleanup to be almost as messy as the original. Half of seniors are in Medicare plans that are ineligible for the bailout. So far, the Biden administration has been tight-lipped on how exactly each of the Medicare Advantage plans will be adapting to their administration-inflicted wounds.
The small bit we know as of October 1 is that benefit cuts are on the way, such as the dental benefit cuts just released by one of the major insurers in Florida.
Reprinted with permission from The Committee to Unleash Prosperity.
The opinions expressed by columnists are their own and do not necessarily represent the views of AMAC or AMAC Action.