Medicare is a shared risk insurance system with premiums based on the ability to pay.
Since what you pay into Medicare is a percentage of your gross salary it is really a system that is based on a sliding scale. Since you may or may not use all the amount you paid in premiums it is a shared risk program.
Companies who administer Medicare such as Palmetto Inc. competitively bid for the right to be Medicare administrators.
Every working person pays into Medicare and does not get benefits until the age 65. Part A is hospital coverage which is what everyone gets and Part B is for professional care. Part B is paid out of pocket.
This is the most efficient health care system in this country.
If Medicare was extended to all we would effectively have a single payer system for Part A. You would still have to pay for coverage of Part B, but at a lower rate than for profit insurance companies.
Providers would have to accept Medicare rates as reimbursement and since fees will be based on outcomes rather than procedures there is an incentive to give care that is both preventative and effective.
The right wants to replace this with a voucher system.
= new reply since forum marked as read
