Humana Letter Addresses Proposed Cuts to Medicare Advantage Plans
In letters from health insurance giant Humana Inc., to Medicare Advantage enrollees, the company addressed current health care legislation, urging enrollees to contact lawmakers about proposed cuts to the privately-run Medicare plans.
Democrats announced yesterday that there is an investigation as to whether Humana was misleading seniors about health reform legislation. Sen. Max Baucus (D-Mont.) urged the Centers for Medicare and Medicaid Services (SMS) to put a stop to Humana’s efforts.
In its own letter, CMS warned Humana not to lobby its customers on the issue.
“CMS is concerned that, among other things, this information is misleading and confusing to beneficiaries, represents information to beneficiaries as official communications about the Medicare Advantage program, and is potentially contrary to federal regulations and guidance for the MA and Part D programs and other federal law, including HIPAA. As we continue our research into this issue, we are instructing you to end immediately all such mailings to beneficiaries and to remove any related materials directed to Medicare enrollees from your website,” according to a letter addressed from Teresa DeCaro, a CMS employee, to executives at Humana.
Today Republicans are accusing the White House and CMS of trying to implement a “gag order” on insurance companies that provide Medicare Advantage programs.
In a written statement, House Minority Leader John Boehner calls the CMS letter “outrageous” and says the White House is “trying to keep seniors in the dark about the consequences of congressional Democrats’ costly government-run health care bills.”
“Would the Administration impose this sort of gag order if seniors were being given information promoting the Obama health care plan? I don’t think so,” says Boehner in the statement. “Seniors have a right to know about the cost and consequences of the Democrats’ health care bills, and Republicans will continue to tell the American people the facts about the nearly $500 billion in Medicare cuts that Democrats are proposing.”
Senate Minority Leader Mitch McConnell also rebuked the CMS letter to Humana, giving an impassioned speech on the Senate floor about the gag order.
“Using the full weight of the federal government’s enforcement powers to stifle free speech should trouble all Americans — and all of us — even more,” McConnell said. “We cannot allow government officials to target individuals or companies because they do not like what they have to say.”
“Shut up! the government says,” said McConnell. “Don’t communicate with your customers. Be quiet and get in line.”
A health-care bill under debate this week in the Senate Finance Committee seeks to trim $123 billion over ten years in payments to Medicare Advantage plans, putting the plans in a new competitive bidding program. Lawmakers are divided over what the effect of the payment cuts will be on enrollees’ benefits.
source: WSJ
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