FOR IMMEDIATE RELEASE CONTACT: Doug McGinn July 1, 1999 (202) 225-3031 RYAN EXPRESSES CONCERN OVER LOSS OF WISCONSIN MEDICARE PROVIDERS
WASHINGTON - First District Congressman Paul Ryan today issued the following statement upon the announcement that Humana and PrimeCare have chosen not to renew their federal contracts to provide health care coverage for Wisconsin Medicare beneficiaries who currently are enrolled in their Medicare+Choice managed care plans. "Today's announcement clearly demonstrates the need for fundamental Medicare reform."
"Following the news that Humana and PrimeCare will not renew their contracts to provide services for Wisconsin Medicare beneficiaries, I am greatly concerned about the need to assist those who will have to switch programs and also on the impact this will have on other providers throughout the state. Both companies have expressed that the reimbursement rates developed by the Health Care Finance Administration (HCFA) were not sufficient to renew their existing contracts. Today's announcement clearly demonstrates the need for fundamental Medicare reform.
"This is just one more example of how the current Medicare structure is unworkable. Home health care, nursing homes, and now Medicare+Choice are among the recent casualties of the 1997 Medicare Act that must be reformed. This situation has been created due to inadequate reimbursements for managed care organizations all over the country. HCFA formulas for Medicare do not adequately reflect the cost of care and diminish innovative, market-oriented alternatives for Medicare beneficiaries to choose from. Medicare +Choice is not working in Wisconsin because the rates set by Washington are not enough for health providers to cover their costs.
"At this point, my first priority is to assist those who will be affected by this announcement and ensure that they are properly enrolled in another Medicare+Choice program or the traditional, fee-for-service Medicare program."
Wisconsin Medicare+Choice beneficiaries who live in the First District will want to enroll in traditional Medicare fee for service plans. In order to ensure eligibility for a Medigap plan with no pre-existing condition requirements, current Medicare+Choice beneficiaries MUST stay in the plan they are in until Dec. 31, 1999.
Beneficiaries currently in either the Humana or PrimeCare program will need to decide whether they will join another Medicare+Choice provider or return to the traditional Medicare program. Options for other Medicare +Choice providers, however, are very limited. Blue Cross, Blue Shield offers Medicare + Choice coverage through CompCare in Kenosha and Walworth Counties. Their toll-free number 1-877-861-2409.
For information regarding coverage options, First District Medicare beneficiaries should contact Danyell Tremmel at (888) 909-RYAN / (888) 909-7926.
For media inquiries, please contact Doug McGinn at (202) 225-3031.