Medicare Advantage plans have become increasingly popular – but have also faced criticism for having smaller networks of health care providers than traditional Medicare, and for improperly denying patients’ medical claims.
to change the city’s administrative code so the fee would be allowed. Believing that was the only way to grant seniors a modicum of choice in their health benefits, Councilmember Carmen de la Rosa introduced the bill the mayor requested.
The change in benefits, intended to save the city $600 million on health coverage annually, was first set in motion by former Mayor Bill de Blasio and is being implemented in cooperation with the Municipal Labor Committee, a group of unions representing city workers. Implementation has been delayed for years, in part, by litigation brought by retirees who oppose the shift.
She also addressed fears about whether a Medicare Advantage plan would have a more burdensome process of assessing whether a procedure should be covered — sometimes referred to as prior authorization. According to UFT spokesperson Alison Gendar, the union wants an independent entity to be able to review any potential denials of coverage for patient care by the insurer.
Thanks, in part, to rising health care costs, the Stabilization Fund has been depleted, union leaders said at the City Council hearing. Henry Garrido, executive director of DC 37, said union members have sacrificed raises to preserve their benefits and said unions have sought out many other ways to keep health care costs down. Now, he said, it was necessary to cut the cost of retiree health benefits.
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