Medicare - What the Fudge?

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Jiro

Jiro

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Medicare pays 4 times suppliers' wheelchair cost, report says
WASHINGTON (CNN) -- Power-driven wheelchairs are costing Medicare and its beneficiaries nearly four times what suppliers pay for them, and competitive bidding could have reduced those costs, according to an inspector general's report released Wednesday.

A standard power wheelchair costs the federal health insurance program for seniors an average of $4,018 to lease, compared with $1,048 for suppliers to buy, the Department of Health and Human Services' internal watchdog reported.

"Medicare and its beneficiaries paid suppliers an average of $2,970 beyond the supplier's acquisition cost to perform an average of five services and cover general business costs," the report found.

The difference was not as dramatic for more advanced wheelchairs used for physical rehabilitation patients, but at an average lease of $11,507, those chairs still cost Medicare about twice as much as the $5,880 paid by suppliers, the report found.

More than 173,000 Medicare beneficiaries received power wheelchairs in the first half of 2007, at a cost of about $686 million, the report said. The cost could have been reduced considerably had Congress not delayed a planned system of competitive bidding for what Medicare classifies as "durable medical equipment," such as wheelchairs and oxygen tanks, the report said.

Competitive bidding would have cut Medicare's average cost of a standard power wheelchair by nearly $1,000, the inspector general found.

"Medicare and beneficiary payments under the Competitive Bidding Acquisition Program would have decreased by an average of 26 percent across all included categories of [durable medical equipment], saving up to an estimated $1 billion annually," the report found. "However, Congress delayed the program and exempted complex rehabilitation power wheelchairs from future competitive bidding."

Medicare's annual budget for 2008 was $444 billion. In January, it cut its payments to suppliers by 9.5 percent to make up for what it thought competitive bidding would have saved taxpayers, according to the report.

In July, a CNN investigation found that a patient and taxpayers were billed about $1,200 over four years for a nonmotorized chair, while a nearly identical chair could be bought from the same supplier for $349.

The issue has become controversial as the Obama administration tries to overhaul the U.S. health care system and rein in the cost of Medicare.

Administration officials want to require competitive bids for items such as wheelchairs. But the American Association for Homecare, which represents many in the durable equipment industry, said the bidding program would reduce patient choice, limit access to home medical care and drive up Medicare costs by requiring more hospital stays.
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:eek3:
 
Hence the need to reign in Medicare costs.
 
Or more oversight in all government agency. It is like the $400 famous hammers years ago.
 
Bottesini said:
Or more oversight in all government agency. It is like the $400 famous hammers years ago.
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I do find it odd that Medicare will pay four times a supplier's cost for a wheel chair, yet following a stroke, will only pay for a 28 day rehabilitative stay in a full nursing care facility. If the patient needs 29 days of rehab, they are out of luck.
 
That's why we need to keep on eye on Medicare's payments.

We want all Americans insured but we don't want abuse and negligence.
 
Will Obama's plan solve the waste, fraud, and abuse of Medicare?
 
Foxrac said:
I believe that he's just trying...
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I mean, are there specific ways his plan will address the waste, fraud and abuse of Medicare, and how to avoid those problems in the new program?
 
Foxrac said:
I believe that he's just trying...
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He may be trying, but he can't fight alone at this...need the help from the vice president and the rest of the staff over this issue.
 
Reba said:
I mean, are there specific ways his plan will address the waste, fraud and abuse of Medicare, and how to avoid those problems in the new program?
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Its in the bill.
 
The problem is what we fear is being cut off from the things that my wife needs.

She's spent a year being hospitalized from a congestive heart failure, renal failure, respiratory arrest and a stroke.

After she was finally released May 13th of this year, she needed a new wheelchair (an electric one, since she has no upper body strength much anymore. Plus she's an double amputee *no legs*), she also got a medical bed, since she can't lay flat on her back like she used to due to breathing problems, sleeping somewhat upright helps alot.

She also needs diapers and medicine. All paid for by medicare and medicaid.

So does that mean she's a waste of money?

Yiz
 
PEOPLE are not a waste of money. That is what health care reform is all about. The value of human beings and their right to medical care no matter their circumstances.

However, paying 4 times a supplier's cost for a piece of durable medical equipment is a decided waste of money.
 
yizuman said:
The problem is what we fear is being cut off from the things that my wife needs.

She's spent a year being hospitalized from a congestive heart failure, renal failure, respiratory arrest and a stroke.

After she was finally released May 13th of this year, she needed a new wheelchair (an electric one, since she has no upper body strength much anymore. Plus she's an double amputee *no legs*), she also got a medical bed, since she can't lay flat on her back like she used to due to breathing problems, sleeping somewhat upright helps alot.

She also needs diapers and medicine. All paid for by medicare and medicaid.

So does that mean she's a waste of money?

Yiz
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absolutely not. that is precisely what separates us from other countries which practiced selective policy. Yes I understand there are some patients who cost the government quite a bit of money but then - they would do same for me and others.

My issue with this subject is the money being improperly spent, money being less monitored and the insanely high medical cost when the actual price is just a fraction of it.
 
I'm agreed with both Jillio and Jiro. People come first. I'm for cutting costs as long as people do not get cut out of the equation.
 
jillio said:
And I replied. Read the bill. Specific answers are contained therein.
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In other words, you either can't or won't answer me.

Got it.
 
Electric wheelchairs are very expensive and also, the repairs are very expensive.

I used to work as Case Manager to work with a deaf woman with CP, MR and with a wheelchair. Her wheelchair was falling apart and that it needed to be repaired so bad, even too small for her. Her Medicare refused to cover it and said that my client had to wait to get her new wheelchair next 5 years because of their policy but it was already in a bad shape. We fought all the way to the court, with the lawyer's help and my help. We won! Within a month later, my client's Medicare approved and that she got a new electric wheelchair. Finally!!! BUT, BUT, BUT my client died of a stomach cancer after using her new electric wheelchair three months shy. I was so angry. They should have done it 5 years earlier. :mad:
 
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