The National Retiree Legislative Network (NRLN), an advocacy organization that lobbies Congress on behalf of retirees, has partnered with The Villages Property Owners Association (POA) to form a local chapter.
At the first of three organizational meetings Wednesday at the Waterfront Inn, NRLN President Bill Kadereit said the two groups signed a strategic agreement the night before and that the POA will help the NRLN communicate with villagers.
“They have been very cooperative and supportive in working with us,” he said.
Kadereit also told about 75 people who attended the first meeting that he met last week with a federal Health and Human Services Department official about a decision by The Villages Health to no longer serve patients with Original Medicare and supplemental policies, also known as Medigap. Effective Jan. 1, patients must enroll in The Villages Medical Advantage plans offered by United Healthcare in order to receive treatment at one of six Villages Health clinics.
“I met with them (HHS) specifically to talk about your situation,” Kadereit said. “I was told that The Villages Health legally has the right to reject any customer. It happens all the time.”
Kadereit said he considers the decision “morally and ethically” wrong, but legal unless Villagers can prove they were misled.
In letters to patients and news reports, The Villages Health has said that 75 percent of about 15,000 affected patients have inquired about switching to the Medicare Advantage plans.
But a non-scientific survey by NRLN found that 93 percent of about 3,000 respondents said they would find new doctors instead of changing their insurance.
“My experience with Medicare Advantage, especially with the HMO (health maintenance organization) model, is that it stinks,” Kadereit said. “Medicare Advantage doesn’t really save money.”
The Villages Health, which faced a $6 million deficit last year covered by the Developer, made the decision partly because there are more financial benefits treating Medicare Advantage patients, who are covered by a monthly stipend whether they see a doctor or not, than Medigap patients, who pay fees for services. The Villages Health has about 40 doctors to serve about 40,000 patients.
Original Medicare recipients pay monthly premiums for supplemental and drug plans, but often have no co-pays or other costs and can seek care with any doctor who accepts Medicare. Medicare Advantage patients usually have no monthly premiums, but are responsible for co-pays and often are restricted to providers within the network.
Founded 14 years ago, NRLN lobbies Congress on behalf of retirees from more than 200 corporations, representing more than 2 million retirees in groups such as the American Airlines Retirees Committee and Ekra-Kodak Retirees. The group has supporters in 75 percent of congressional districts and in all 50 states.
Kadereit said about 400 people have signed up for The Villages chapter and about 300 registered to attend one of the three meetings. Another meeting officially to launch the local chapter will be held in November, after a lot of seasonal residents return.
Members routinely will be asked to contact their Congressional representatives to support NRLN issues.
Kadereit said two current issues are drug price gouging and a proposed premium support plan that would replace Medicare.
Residents of the United States pay higher drug prices to offset deep discounts in other countries. If pharmaceutical companies refuse to exit the other markets, he said, Congress must allow the importation of safe prescription drugs from Canada, where prices are about 30 percent less.
The premium support plan, where the government would provide subsidies to help retirees by private insurance, has been proposed as a Medicare replacement. Instead, Kadereit said, Congress should focus on reducing Medicare expenses.
“This is wrong,” he said of the premium support plan. “You’re tearing down an institutional structure that works. We say go after the costs.”
