Today's Datapoint

$1 trillion … was saved by the U.S. health system over the last decade with the use of generic medications, according to a new study released by the Generic Pharmaceutical Association.

Quote of the Day

“There are roughly 40 to 50 million new people who are going to be eligible to purchase health insurance [through an exchange] and another 17 million will come in through expanded Medicaid. That’s roughly 450,000 people per day starting Oct. 1, 2013….That’s like enrolling cities the size of Cleveland, Charlotte and New Orleans every day.”
— Sam Gibbs, president of e-Health Technology/Exchange Solutions, told a recent World Congress Leadership Summit on Health Insurance Exchanges.

Majority of Americans Oppose Cuts to Medicare

The Washington Post and the Kaiser Family Foundation recently conducted a poll of both Democrats and Republicans and found that the majority of people, regardless of party affiliation, oppose cuts to Medicare and Social Security.

When asked about national economic issues that are most worrisome, 44 percent of those polled responded that the cost of health care is either the most or second-most worrisome issue. However, most people—77 percent of those polled—oppose cutting Medicare to reduce the nation’s budget deficit.

Additionally, 58 percent of people believe Medicare should remain the program it is today, guaranteeing core benefits, rather than be converted to a premium support model as proposed by Congressman and vice presidential candidate Paul Ryan. The Ryan proposal would end Medicare as we know it, providing beneficiaries with a government-issued voucher to purchase private insurance. Analysis shows that the amount of the voucher would be unlikely to keep pace with rising health care costs. Thus, over time, out-of-pocket expenses for Medicare beneficiaries would increase. Estimates suggest that the Ryan premium support model could cost beneficiaries an additional $6,400 per year. People with Medicare are in no position to pay more for health care: half of all Medicare beneficiaries have annual incomes below $22,000, and they already spend, on average, 15 percent of their incomes on health care.

Medicare Advantage Enrollment Continues to Climb

Reported Medicare Advantage enrollment as of August 2012 was 13.2 million, 10% higher than August 2011. CSG Actuarial estimates that Medicare Advantage plans have captured approximately 35% of the individuals who’ve turned 65 and enrolled in Medicare in 2012.

Quote of the Day

“Any money spent on lobbying ahead of the [Supreme Court] decision might well have been wasted, or possibly seem as a subtle attempt to influence the court. Now that the big decision has been made, we can expect the coffers to open and the green to pour forth, in D.C. and key state capitals as well.”
— Joseph Paduda, a principal at Health Strategy Associates LLC, told AIS’s Health Plan Week.

Today's Datapoint

134,000 … hospitalized Medicare patients may experience an adverse event each month that results in prolonged hospitalization, permanent bodily harm, a life-sustaining intervention, or death, according to an extrapolation made by Ruth Ann Dorrill, deputy regional inspector general for the Office of Evaluation and Inspections, who spoke at a recent OIG podcast.

Today's Datapoint

20.5% … was the one-month plunge in Humana’s stock price during July, when six of the seven non-Medicaid health plans tracked by Health Plan Week suffered substantial losses. All four Medicaid plans were up, three by 22% to 36%.