The Distributional Consequences of Medicare Premium Support Proposal
The Distributional Consequences of a Medicare Premium Support Proposal
This article analyzes the expected distributional impact of enacting a premium support proposal for Medicare based on legislation introduced by Sen. Breaux and Sen. Frist in 1999. This legislation suggested that the Federal Employees Health Benefits plan be used as a model for Medicare. The article simulates impacts in three areas: among beneficiaries who choose to retain fee-for-service coverage, between different geographic areas, and according to various beneficiary characteristics. Finally, the article discusses how results from this study would compare to those that may occur under the premium support demonstration project, beginning in 2010, established under the Medicare Prescription Drug, Improvement, and Modernization Act of 2003.
This research was funded by the Kaiser Family Foundation and is presented here courtesy of the Journal of Health Politics, Policy and Law.