GAO Examines Impact of Continuous Coverage Prior to Enrolling in Medicare
These are the people that get charged three times as much under the ACA
http://www.gao.gov/products/GAO-14-53
The US Government Accountability Office (GAO) recently published a report that examines how continuous health insurance before enrolling in Medicare relates to a beneficiary’s reported health status and use of medical services. The study included only people who were eligible for Medicare due to age, not people who were eligible due to disability. It examines the time span from six years before someone was eligible for Medicare to six years after someone had Medicare.
GAO found that people with prior continuous insurance reported being in better health throughout their first six years on Medicare. Additionally, they had lower Medicare spending during their first year on Medicare, translating to approximately $2,300 less in Medicare spending in their first year of coverage.
The study also found that beneficiaries with continuous prior insurance had less institutional outpatient care (e.g., hospital outpatient care) than those who did not during their first two years of Medicare coverage. Those with and without prior continuous insurance had similar noninstitutional outpatient care spending (e.g., physicians and labs) at first. However, beneficiaries with prior continuous insurance surpassed their counterparts in noninstitutional outpatient spending in the fourth and fifth year. This coincides with the finding that those with prior continuous insurance having more physician office visits during the first five years on Medicare.
GAO’s report suggests that beneficiaries with prior insurance are in better health and use fewer or less expensive Medicare services during their first years on Medicare. The care spending and usage patterns also suggest that people with and without prior continuous insurance may access healthcare in different ways. Overall, GAO’s report shows that, while Medicare can help those who are 65 and older access the care they need, their health status and use of services can be largely impacted by their health insurance status prior to Medicare.
