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An Analysis of Reforming Medicare Through a ‘Premium Support’ Program

An Analysis of Reforming Medicare Through a 'Premium Support' Program

This report examines one of the leading approaches to reforming the Medicare program, known as premium support. Under this model, the current Medicare program would be replaced by a system of competing public and private health plans, and the federal government would pay a set amount per beneficiary. The authors conclude that, while premium support could potentially improve Medicare's efficiency and improve quality, traditional Medicare could experience erosion over time, resulting in higher costs and more unstable coverage for seniors.