Tony Carrk and Nicole Cafarella have put out a new report demonstrating why the GOP’s main selling point for the Ryan budget — namely that Americans over 55 years of age will receive the same kind of coverage as members of Congress — is so totally and completely wrong. The basic difference is that the vouchers that seniors would receive in 2022 under Ryan’s plan are pegged to inflation and don’t keep up with actual health care costs. The federal government’s contribution to the Federal Employees Health Benefits Plan (FEHBP) are a weighted average of actual premiums charged in any given year and reflect the growth in health care spending.
Carrk and Cafarella modeled what would happen if members of Congress received a Ryan-type voucher and discovered that they “would have had to pay an additional $3,330.36” for a family plan and $1,555 more for individual coverage:
Seniors would obviously also pay more under the Ryan plan than if they remained in traditional fee-for-service Medicare. The Congressional Budget Office analysis of the Ryan plan has concluded that “[T]he beneficiary’s share in 2030 would be 68 percent under the proposal” but only “25 percent” under current law.