With the so-called healthcare reform bill on the verge of being passed, we need to take a look at who is going to profit. When it comes to politics, you always need to follow the money. Both versions of the healthcare bill are going to be allegedly financed by cuts to Medicare. One of the programs that are due to be completely eliminated or severely cut is Medicare Advantage.
Medicare Advantage is a program that allows middle class people to get a wrap-around type policy to cover the gaps that Medicare doesn't pay that are partially subsided by the government. The costs of what is not included in Medicare can be quite costly; especially if you have to take a great deal of medication. This program has been touted as wasteful and ineffective by the democrats. This was mentioned to me by both Senator Webb and Senator Warner's staff during my visits to their offices. When these programs are gutted, the millions of people who are using this program will be forced to go out and find another policy. In walks AARP.
AARP's membership dues is low, only $16 per year. AARP certainly cannot afford its business expenses on membership dues alone. If you are 50 or older you know how much mail they send out. Those mailings costs about .30/piece and they send millions out per month. I won't bore you with how I know that information, but I do.
One of the main sources of income for them is the royalties that they get from selling insurance policies. Last year alone they made almost three quarters of billion dollars. Yes, that is a B for billion. That is an amazing amount of money. No wonder they support the cuts to this program.
The board members of AARP should be ashamed of themselves for supporting a bill that is going to cause cuts to Medicare programs. The entire point of the organization is support the needs of the senior citizens in this country. With more cuts coming down the pike, the number of hospitals and medical providers who will accept Medicare will dwindle. They will be joining the likes of the Mayo Clinic of Arizona. The people who are going to be the most hurt by this legislation is going to be the very people that they say they represent. It seems to me that the only thing they are representing is the bottom line of their profit sheets.