tci Medicare Compliance & Reimbursement - 2005 Issue 16

MEDICARE: Rising Costs Will Eventually Price Beneficiaries Out

It's unavoidable, as health-care costs rise faster than U.S. earnings.Over the long term, both the benefits Medicare enrollees receive from Part B and the Part B premiums they pay will grow much faster than the Social Security checks that many use to pay their Medicare bills. In fact, that's been the case over the history of the program, notes the annual Medicare Trustees' Report issued March 23.The Social Security benefit grows at about the same rate as average U.S. earnings. But health-care costs in general grow much faster, and physician spending, in particular, is growing...

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