You are here:HomeIssuesHealth Care Reform2012NAIC Blasts Proposal to Penalize People Who Buy Medigap Insurance

NAIC Blasts Proposal to Penalize People Who Buy Medigap Insurance

The National Association of Insurance Commissioners (NAIC) is critical of proposals that would require seniors with supplemental Medigap policies to pay more out-of-pocket for their health care...
December 12, 2012

The federal healthcare law calls for NAIC to advise the administration about whether seniors would use fewer Medicare services, thereby costing the government less money, if leading Medigap plans were less generous. Bonnie Burns, who serves on a NAIC committee that studies the issue, says data indicates that increasing cost-sharing discourages people from obtaining medical care, but “the problem is they stop using both necessary and unnecessary care.”

In a draft letter approved unanimously by NAIC’s senior issues task force and health insurance committee last week, the commissioners warn that limiting Medigap could backfire and raise Medicare costs when seniors don’t receive the medical care they need. The letter, to Secretary of Health and Human Services Kathleen Sebelius, was approved during the association’s annual meeting near Washington. The letter will be sent after a third committee approves it, which is expected later this week.

Filed under: