[Dueller]

I intentionally did not post this in PARF as health insurance questions pop up here frequently without degenerating into partisan political diatribes. So try to keep it in that vein if you can.

One congressman is proposing the idea of expanding Medicare coverage to all ages as the public option alternative. At first blush it appears to be a nutty idea given the shaky financial status of the Medicare trust fund. But let's look at it for a moment to see if it is not such a hairbrained idea.

First, for those not familiar with Medicare, a little thumbnail primer of the program. Medicare coverage has three parts: A--Hospital coverage; B--Outpatient coverage and D--Drug coverage. Current eligibility requirements are at age 65 or after 24 months of being on Soc Security disability. There are some other ways to become eligible such as chronic renal failure, but the main way is age 65 or disability. Also to be eligible you generally have to have worked and paid Medicare taxes for at least half of your working life or be married to someone who has worked in Medicare covered employment.

Premiums: If your are 65 or disabled and meet the work history requirement, Hospital coverage (Part A) comes premium free. Otherwise the "buy in" premium is around $250-400/month. Optional outpatient coverage (Part B) is about $96 per month and is not premium free for anyone. Part D, drug coverage is optional at about $60 per month.

Deductibles are roughly 1100 for hospital, 135 for outpatient at which time Medicare picks up 80% of approved charges (a problem for providers because Medicare does not normally approve charges as high as most providers charge...as a result some doctors/providers will not accept Medicare assignment). Additionally, after 61 days of hospitalization the coinsurance jumps up quite a bit something like 300+/day).

So basically Medicare is a catastrophic coverage type of insurance. Because of this and the deuctibles/approved charge issues/ etc, may seniors who can afford it get Medicare supplement policies from private sources.

But I digress...Is it really hairbrained to think Medicare coverage for all ages as an OPTION is a viable alternative? Make those under 65 pay the premium on the coverage they elect? Keep the private carriers happy selling supplemental policies. Keep in mind, something like 90% of your lifetime health care expenses occur on average in the last few years of your life. Perhaps premiums collected for younger workers seeking catastrophic coverage would shore up the dwindling Medicare trust funds....but I'm no actuary.

What say ye?