Press Releases

UPDATE: Congressman Bishop followed up with Health & Human Services Secretary Sylvia Burwell in person following the letter he sent her, signed by a bipartisan majority of the Michigan House delegation, sharing deep concerns with the Centers for Medicare & Medicaid Services' proposal to cut Medicare Advantage (MA) Retiree Coverage by 3 to 4 percent. To hear his line of questioning and her follow up, watch this video.

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On Thursday, March 11, Congressman Mike Bishop and Congresswoman Debbie Dingell sent a bipartisan letter to Health and Human Services Secretary Sylvia Burwell that addresses the serious concerns with the Centers for Medicare & Medicaid Services (CMS) proposed cuts to Medicare Advantage (MA) Retiree Coverage, also known as Employer Group Waiver Plans. In an advance notice sent out on Feb. 19, 2016, CMS proposed 3 to 4 percent cuts to MA Retiree Coverage, which would lead to higher out-of-pocket costs and reduced benefits for more than 300,000 retirees in Michigan who rely on this coverage for their health and financial security.
 

“It is critical that the 3.3 million seniors throughout the country with MA Retiree Coverage continue to have access to high quality, affordable, and coordinated health care options available through this option,” the letter states. “We ask that you stop the proposed reductions to MA Retiree Coverage and preserve the healthcare security of these retirees by supporting the innovative and high quality care offered by this important program.”
 

Led by Reps. Mike Bishop (MI-08) and Debbie Dingell (MI-12), the letter was signed by Reps. Dan Benishek (MI-01); Bill Huizenga (MI-02); John Moolenaar (MI-04); Dan Kildee (MI-05); Fred Upton (MI-06); Tim Walberg (MI-07); Sander Levin (MI-09); Candice Miller (MI-10); Dave Trott (MI-11); John Conyers (MI-13); and Brenda Lawrence (MI-14).
 

The full text can be read below and at this link.

Dear Madam Secretary:

We are writing to express our deep concerns regarding the proposed reduction to Medicare Advantage (MA) Retiree Coverage (also referred to as Employer Group Waiver Plans) included in the Centers for Medicare & Medicaid Services (CMS) 2017 Advance Notice.  In Michigan alone, there are over 300,000 retirees including labor union, state and local government, and private employer retirees who rely on Medicare Advantage Retiree Coverage.  This proposed reduction would jeopardize the high quality health care that they depend on for their health and financial security.  We urge you to ensure that these seniors maintain their retirement certainty and avoid disruption by stopping this proposed reduction to MA Retiree Coverage in the 2017 Final Notice.

The proposal in the 2017 Advance notice would cut payments to MA Retiree Coverage by 3-4%.  This would inevitably translate into higher out-of-pocket costs and reduced benefits for retirees.   Additionally, the proposal would greatly shorten the period of time that plan sponsors have to communicate with retirees regarding the benefit options available to them, and thus would compromise the ability of retirees to make informed decisions on their coverage.   Also, because of the cut in payments and difficulty in meeting obligations to communicate with retirees, some plan sponsors might leave Medicare Advantage, thereby diminishing the quality of care available to retirees.

Not just in Michigan, but throughout the entire country, MA Retiree Coverage delivers proven care coordination and disease management activities, as well as comprehensive drug benefits that significantly reduce out-of-pocket costs for the most vulnerable retirees, and includes essential broad provider networks that ensure retirees have access to providers, even in the most rural areas. 

If the proposal in the 2017 Advance Notice is implemented, these retirees would experience significant disruption in their coverage, including reduced access to health care options and services, fewer choices of providers and unexpected additional out-of-pocket costs.  

It is critical that the 3.3 million seniors throughout the country with MA Retiree Coverage continue to have access to high quality, affordable, and coordinated health care options available through this option.  We ask that you stop the proposed reductions to MA Retiree Coverage and preserve the healthcare security of these retirees by supporting the innovative and high quality care offered by this important program.

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