Republicans threatening to hold up Obama nominees to protect insurance companies

GOP to block health nominees in Medicare spat

By JULIE HIRSCHFELD DAVIS, Associated Press Writer

WASHINGTON – The Senate's top Republicans said Thursday they wouldn't allow President Barack Obama to fill health posts until his administration stops barring insurers from telling the elderly how Democrats' health overhaul could affect their benefits.

Sen. Mitch McConnell, R-Ky., the minority leader, and seven other Republicans wrote to Health and Human Services Secretary Kathleen Sebelius demanding she immediately lift what they called a "gag order" that calls on private companies that contract with Medicare to stop communicating with their elderly customers about the measure's potential effects.

It's the latest escalation in a politically charged controversy over whether the wide-ranging health system remake Democrats have written would result in reduced benefits and services for seniors. The measures — along the lines Obama has called for — propose hundreds of billions of dollars over the next decade in cuts to Medicare, the federal health program for the elderly and disabled, including in a program that lets private insurers contract with Medicare to provide coverage.

One such insurer, Humana Inc., headquartered in McConnell's home state, told its Medicare customers in a recent mailing that the bill could slash their benefits. The missive urged seniors to contact lawmakers to ask them to oppose it.

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Gov't investigates health insurance company mailer

By RICARDO ALONSO-ZALDIVAR, Associated Press Writer

WASHINGTON – The government is investigating a major insurance company for allegedly trying to scare seniors with a mailer warning they could lose important benefits under health care legislation in Congress.

The Health and Human Services Department launched its investigation of Humana after getting a complaint from Sen. Max Baucus, D-Mont., a senior lawmaker usually viewed as a reliable ally of the insurance industry.

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Humana Inc., headquartered in Louisville, Ky., is cooperating with the investigation and stopped the mailer earlier this month, company spokesman Tom Noland said Monday.

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Humana is one of the largest private carriers serving seniors under a program called Medicare Advantage. About one-fourth of the elderly and disabled people covered under Medicare participate in the Advantage program, which offers a choice of private plans that usually deliver added benefits.

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