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Ryan’s plan is for people who are under age 55 now. It would give them voucher-like credits to buy traditional fee-for-service Medicare or competing private insurance plans.
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Democrats say the intention is to protect beneficiaries’ coverage while forcing health care providers to become more efficient.Under the new law, the overall Medicare budget is projected to go up for the foreseeable future. Rock on gold dust woman. The health care law tries to limit that growth, making it less than it would have been without the law, but not reducing its overall budget. So claims that Obama would. Medicare Advantage was started under President George W. Bush, and the idea was that competition among the private insurers would reduce costs. But in recent years the plans have actually cost more than traditional Medicare. So the health care law scales back the payments to private insurers.Hospitals, too, will be paid less if they have too many re-admissions, or if they fail to meet other new benchmarks for patient care.