By RICARDO ALONSO-ZALDIVAR Associated Press Writer © 2009 The Associated Press
March 30, 2009, 3:13PM
WASHINGTON — The Obama administration Monday placed new curbs on private insurance plans that are popular with seniors in Medicare, but have been criticized for marketing abuses and high costs to the government.
Medicare officials said the changes include winnowing the number of versions of a plan that insurers can offer, protecting patients with chronic diseases from excessive copayments and banning a practice by some plans that can add even more to the costs of brand name drugs.
"The overall theme here is to make sure there is less confusion and more transparency, so consumers can make well-informed choices," said Jonathan Blum, who runs the Medicare division that oversees private plans.
The new policies reflect an administration effort to put its stamp on private plans in Medicare, which flourished under Republicans but are seen by some Democrats as undermining the traditional program. The plans are offered by major insurers such as United Healthcare and Humana.
"I think it'll move toward cleaning up the marketplace so it's easier for folks to compare plans," said Paul Precht, policy director of the Medicare Rights Center, an advocacy group. Stronger minimum standards for the plans mean "when you get sick, it's harder to stick you with higher costs," he added.
About 10 million seniors get comprehensive medical coverage through such plans, and another 17 million are signed up in private drug plans. Every year, they get the opportunity to sign up or change plans during an open enrollment period.....
Private Medicare plans get new rules | Top AP Stories | Chron.com - Houston Chronicle
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