The New York Times is reporting slight movement between Republicans and the President over changing the structure of Medicare.
Specifically, there would be a combining of Parts A and B with a common deductible but with an out of pocket limit for the combined program. This makes a lot of sense and is fully consistent with the health plans Americans use in the years before Medicare eligibility.
Such a change is aimed at saving money of course. However, even with higher premiums (or possibly taxes while working), beneficiaries could save money because of less need for Medigap coverage which could be greatly simplified. Such a revised Medicare would also be ideal for a Medicare Savings Account built up over the years to be used at the beneficiaries discretion for the deductible and co-insurance in lieu of or in conjunction with a Medigap policy.
This may all be a pipe-dream of course, but restructuring, modernizing and simplifying Medicare is long overdue. Medicare coverage should provide continuity with the plan design for younger Americans.
QUINNSCOMMENTARY 
So, if you seek continuity, and a longer term reconciliation of Medicare and employer-sponsored coverage, you need to merge A, B and D, and put a high deductible in place – $1,250 minimum this year … because that would make the Medicare coverage consistent with what workers have today, and, after health reform, the most likely structure of coverage in the future…
This would have the side benefit of encouraging individuals to save for post-employment medical expenses, so as to have sufficient funds available in the Health Savings Account to finance the deductible.
No better time to save for future medical expense than while you are younger and healthier…
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Absolutely!
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