Primary Reforms

PRIMARY REFORMS

1)    Stabilize Medicare for seniors. Current Medicare law calls for a 29.5 percent cut to physician reimbursement beginning January 1, 2012. This cut will severely compromise access to care for seniors unless a budget solution is found. This cut can be prevented and paid for by fundamentally restructuring Medicaid. Converting Medicaid’s current system of unlimited federal matches into a system of limited state block grants will save the federal government tens of billions of dollars annually. This savings can offset the massive Medicare cuts scheduled for January of 2012 and beyond.
2)    Let individuals purchase insurance with pre-tax dollars regardless of where they purchase insurance. This increases portability and lets individuals customize their policies.
3)    Encourage low cost, high deductible plans combined with a Healthcare Savings Account (HSA) for patients who are best served by this model. This model encourages preventative medicine while reducing the cost of healthcare.
4)    Let individuals and businesses purchase insurance across state lines to escape burdensome state regulations and mandates.
5)    Create small business pools to spread risk and decrease health insurance costs.
6)    Incentivize states to pass patient-centered medical malpractice reform.
7)    Create state run, high-risk pools for patients with chronic disease.
8)    Put the Medicaid program on a budget and develop a sliding scale, premium support system to assist those who cannot afford health insurance. This accomplishes three things: 1) It enables states to create fixed Medicaid budgets, 2) It empowers individuals in this system to purchase the private coverage that best suits their needs, and 3) It creates opportunity for individuals on Medicaid to exit the system by gradually increasing their income.
9)    Put Medicare on a budget and restructure Medicare into a premium support system where seniors can choose from a variety of competing plans. The system is structured so those who have fewer financial resources or more medical need receive more support. This reform empowers individuals to purchase the private coverage that best suits their needs. It would also dramatically reduce the tens of billions of dollars of Medicare fraud by giving seniors an incentive to get the best value for their healthcare dollar.