House Democrats have introduced legislation that would lower Medicare eligibility to age 60, down from 65.
Among other things, the proposed law could potentially cut the cost of someone’s health insurance from $900 a month to just $160 a month if they were between the ages of 60-65. Plus, it could potentially cut how much someone spends on health care annually by 75%.
This potential law could also have positive effects for businesses. Employees might be more likely to switch to Medicare and opt-out of their employer’s health insurance, according to Oh.
However, there will likely be pushback from health care providers, according to Oh. When a patient uses Medicare, the health care providers are typically compensated at a lower rate. Health care providers also have less flexibility to negotiate their prices under Medicare, compared to private or employer-based health insurance
“Could you see hospitals, for example, hospital systems trying to resist a wholesale change of Medicare eligibility age?” asked Oh. “[It’s] very possible.”
While it is impossible to look into the future and see how the Senate will vote on this, it will be important to keep an eye on this as it can revolutionize Medicare.