Thanks for the article from Paragon on the unsustainable cost trajectory for Medicare.
There is surely nothing wrong with mandating higher deductibles for wealthy persons….however, I am skeptical that this will really lower the government’s costs very much.
The studies which have been done on high-deductible plans do not suggest a spectacular cost savings. This is a little crude, but let’s imagine a typical senior who gets heart disease, cancer, and joint replacements before he or she dies. Yes, their total costs to Medicare would be $750,000.
With a high deductible in the years that these events occur, maybe their total cost to Medicare would be $690,000. Not a game changer, budget wise.
Thanks for the article from Paragon on the unsustainable cost trajectory for Medicare.
There is surely nothing wrong with mandating higher deductibles for wealthy persons….however, I am skeptical that this will really lower the government’s costs very much.
The studies which have been done on high-deductible plans do not suggest a spectacular cost savings. This is a little crude, but let’s imagine a typical senior who gets heart disease, cancer, and joint replacements before he or she dies. Yes, their total costs to Medicare would be $750,000.
With a high deductible in the years that these events occur, maybe their total cost to Medicare would be $690,000. Not a game changer, budget wise.