The following is a guest post by Joseph Hall.
Obamacare is DOA, How Medicare & Medicaid Scams Will Break the Plan
While Obama presses his Affordable Care Plan, hucksters are already destroying the government led insurance plans known as Medicare and Medicaid. The Democratic Party is simply inept at controlling for fraud. While attempting to control for fraud, the government is starving legitimate practitioners out of the market, while enriching con artists who outsmart the goons who design government health care plans.
Quite simply, the federal government is unprepared, ill-equipped, and too naive to run a health care plan. Additionally, the Centers for Medicare & Medicaid Services (CMS) pay out billions of dollars in false claims per year. The government simply lacks the expertise to run a legitimate health care program. When politicians create their proposed legislation and send their financial data to the CBO to evaluate, there is no contingency for fraud analysis. So, the CBO will make robust predictions without anticipating the speed of greed! There is no model for fraud control!
Take two current news articles that help to illustrate the severity of the problem. MSNBC just broke a story illustrating the ease at which thieves can steal taxpayer money under false pretenses.
“By the time authorities busted a fake AIDS clinic in Miami, it had bilked Medicare of more than $4.5 million. Still, the man behind the scheme remained far ahead of the agents pursuing him.
Michel De Jesus Huarte, a 40-year-old Cuban-American, hadn’t simply avoided arrest. He had hatched a plan to steal millions more from Medicare by forming at least 29 other shell companies — paper-only firms with no real operations. Each time, he would keep his name out of any corporate records. Other people — some paid by Huarte, some whose identities had been stolen — would be listed in incorporation papers.
The shells functioned as a vital tool to hide the Medicare deceit — and not only for Huarte. Hundreds of others have used the veil of corporate secrecy to help steal hundreds of millions of dollars from one of the nation’s largest social service programs, a Reuters investigation has found.”
The story reveals how big the fraud is in just one town, Miami, Florida, while indicating the investigation is just getting started. The idea that the federal government can run an industry as complex as health care is simply ludicrous. Obama Care is dead on arrival! The only solution that may work is to scrap the useless law and create a health care system that is run by the individual states and billed through private insurance companies that are organized to efficiently detect and eliminate fraudulent claims.
As the law stands, taxpayers are on the hook for billions in fraudulent claims.
And how is the government’s plan to compensate Medicare physicians faring today? Once again, the federal government cannot get it right. While Senator Harry Reid poses for the cameras and President Obama works the crowds in Hawaii, the providers face a huge cut in pay! Since the Democrats refuse to lead the way with their social welfare programs, the physicians who provide services must pay for poor political posturing! CNN reports that Medicare doctors are being ignored by congress and some doctors are considering the extreme step of moving their practice to reduce their exposure to Medicare patients due to insufficient pay through the Medicare system.
“Fed up with temporary fixes: For doctors who accept Medicare, the situation playing out in Washington is a familiar one.
Federal law requires that reimbursement rates be adjusted annually based on a formula tied to the health of the economy.
That law says rates should be cut every year to keep Medicare financially sound.”
Republican House Leader Boehner says that the government must act now to provide long-term financial stability, while the Democrats can barely find time to keep the government running.
President Obama says he would like to help out in these two very serious problems, but lacks the skill to lead in health care reform!
Watch the video of Miami Herald Reporter Jay Weaver on the newest Medicare scheme to rob tax payers.
Contact information: Joseph Hall, Daymar Institute, Health Care & General Education