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A Flawed Defense of Medicare Advantage

Armen Hareyan's picture

If private Medicare health insurance is to be continued proponents had better make better arguments than Scott Gottlieb made on Tuesday's Wall Street Journal op-ed page.

Gottlieb is a former Bush Administration CMS official and is currently at the American Enterprise Institute.

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The context of his arguments is that this week Congress is debating making cuts to the private Medicare Advantage program in order to pay for deferring a 10.6% physician fee cut that is set to begin on July 1.

A number of sources have estimated that Medicare Advantage plans are paid 13% more than traditional Medicare pays for similar seniors--the private fee-for-service (PFFS) product gets 17% more.

Since you can't access the op-ed unless you have an electronic subscription to the WSJ, here are his key points: