Senator McCaskill uses hearing to build consensus around common sense reforms and help protect against efforts to turn Medicare into voucher program

WASHINGTON, D.C. – Months after the Republican U.S. House of Representatives attempted to dismantle Medicare and replace it with a voucher program, U.S. Senator Claire McCaskill today used a Senate hearing to quiz policy experts on more mainstream, commonsense reforms to strengthen Medicare and sustain it for future generations.

At a hearing of the Senate Aging Committee, McCaskill questioned experts on the federal budget, and health care and retirement policy, about Medicare’s increasing share of the federal budget and explored various proposals to strengthen the program that McCaskill says is “one of America’s core safety net programs.”

“I think there’s a lot of places we can find consensus,” McCaskill said.  “And if we just work hard on those places where we find consensus, I think it might be surprising what we can get done.”

McCaskill asked the witnesses about the issue of overutilization of procedures and equipment by providers, who profit in Medicare’s fee-for-service system, thereby contributing to higher costs.  Panelists agreed with McCaskill that overutilization by providers earns them profits at the expense of taxpayers, and that addressing the issue could help bring down costs.

McCaskill also stressed the need to make sure consumers have good information with which to make decisions, telling her colleagues that, “What makes a free market work is better incentives… and good information.  We know where every cup-holder is in a car we buy.  But I had my knee replaced, and I was a United States Senator, and it took me six months to get information as to what it cost—and I got three different numbers.”

Other proposals considered at today’s hearing for cost-savings that could be achieved to strengthen and sustain Medicare included:

·         Coordinating care more efficiently for seniors eligible for both Medicare and Medicaid—which estimates show could save as much as $188 billion over ten years

·         Cracking down further on Medicare fraud

·         Bundling Medicare payments for hospital care

Earlier this year, McCaskill voted against the House of Representatives’ plan to dismantle Medicare and replace it with a voucher program—a proposal McCaskill called “extremist.”  According to the nonpartisan Congressional Budget Office, the plan would have eventually forced the average senior on Medicare to pay more than double what that senior will pay under traditional Medicare.  This amounts to $6,359 more each year just to sustain their current benefits.  The Republican plan also left seniors to fight for themselves in the health insurance marketplace against large private insurance companies. 

McCaskill held town hall forums with Missouri seniors last month, where she announced her support for new legislation to help protect and sustain Social Security for future generations, without cutting benefits or raising the retirement age.  McCaskill also used the town halls to highlight her work to protect Medicare. 

McCaskill recently fought to ensure that Medicare and Social Security were not “held hostage” as part of a federal budget debate.