Nearly three million seniors would lose their Medicare Advantage coverage under legislation proposed in the House of Representatives, according to the non-partisan Congressional Budget Office (CBO).
In testimony before the Ways and Means Committee this evening, CBO director Peter Orszag said that under the CHAMP Act, Medicare Advantage enrollment would fall from approximately 8.2 million currently to 5.5 million in 2012, a reduction of 33 percent from current enrollment levels.
Karen Ignagni, President and CEO of America?s Health Insurance Plans (AHIP) said that the CBO estimates confirmed that millions of seniors would no longer have access to the enhanced benefits, coordinated care, preventive services, disease management programs and out-of-pocket protection that Medicare Advantage plans provide.
?This legislation would be devastating to millions of seniors who count on Medicare Advantage for their health security,? said Ignagni.
Ignagni added that most of the 5.5 million remaining Medicare Advantage beneficiaries would be faced with significant benefit cutbacks and higher out-of-pocket costs if Congress moves forward with the plan to drastically cut payments to Medicare Advantage plans.