May 16, 2019
By Naomi Lopez Bauman
The Medicare program, which provides health insurance to the nation’s almost 60 million seniors and disabled, is going broke. According to the most recent Medicare Trustees’ Report, the hospital insurance program will face “insolvency” in 2026 when the program spending exceeds incoming payroll taxes.
That is why Americans should be appalled to learn that the current program rules financially penalize seniors who leave the program. Under current administrative rules, a senior who exits the Medicare program must also forgo all Social Security benefit payments, including those received in previous years. This is nothing short of a financial trap that most of our nation’s seniors, even those who have financial resources, cannot escape.
Naomi Lopez Bauman is the director of healthcare policy at the Goldwater Institute.