Friday, May 20, 2011

Should Medicare Parts A and B be modeled after Part D

Michael O. Leavitt, secretary of HHS from 2005 to 2009 under Bush, has a column in The Washington Post today, Friday, May 20, p. A17, “The right model for Medicare”.  To wit, that’s to apply the Part D model, which he says works relatively well now with competition (despite the doughnut hole), to parts A and B.  That sounds rather like Wisconsin Republican Paul Ryan’s idea (link).

For me, prescription drugs aren't a problem because there is plenty of competition to make the one medication I take, Atenolol. For my mother, many drugs (Aricept and Namenda, and Plavix) were very expensive. 

I could not find the current issue online yet (technical issue, maybe), but an older piece from August 2010, “The Medicare Reform Illusion” also focuses on the problems with the old fee for service model, (website url) here.  

Would a reformed "Part A and B" have the doughnut hole? 

Leavitt Partners has its own site here.

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