WASHINGTON
A Pentagon task force proposed dramatic increases Thursday in the health insurance premiums paid by more than 3 million military retirees and their families, warning that medical costs are growing faster than the federal budget or the U.S. economy.
The 14-member panel unveiled a complicated fee structure that would more than double the annual cost of family coverage for 1.1 million military retirees under age 65, hiking their average fee from $460 to $1,100. While all those retirees would see fee increases, the exact amount for each would be tied to his or her pension, so those who retired at a higher rank would pay more.
Another 1.9 million retirees over 65 also would bear added costs; the panel urged that they be charged a $120 annual enrollment fee on top of the monthly premium - currently $96.40 for most retirees - they pay for Medicare's Part B supplemental insurance.
More than 137,000 military retirees live in Virginia, according to Defense Department figures compiled in 2005; some 53,000 of those are in Hampton Roads, a group of Old Dominion University researchers
estimated in 2003.
The task force suggested that premiums remain unchanged for active duty troops; most of those choose the military's Tricare Prime program, which is provided free of charge.
The proposed increases seem sure to trigger a storm of protest from military retiree organizations. In each of the past three years, the groups have persuaded Congress to block other Defense Department proposals to restructure the military's health care costs, leaving premiums frozen at 1996 levels.
The proposals "focus almost exclusively on (Defense Department) costs and very little on what level of benefit career military people earn by virtue of their decades of service and sacrifice," Steve Strobridge, government relations director for the Military Officers Association of America, wrote in a message slated for delivery to association members today.
He argued that "military people pay far larger premiums than any civilian - but pay them up front and in-kind," with their service.
The task force report proposes a number of sensible reforms to improve the efficiency of the military health system, said Joyce Wessel Raezer, chief operating officer of the National Military Family Association. But in an election year, those plans are likely to be lost in a fight over the fee increases, she suggested.
Raezer predicted that the military associations will be particularly wary about adding to the costs of elderly retirees, whose advocates argue that they were promised free care for life if they made a career of the military.
"We believe they're already paying more than a nominal fee in that they have to pay for Part B," she said.
"It's not fair," said Libby Morrison, a retired Navy commander who lives in Virginia Beach. "I never had to go to war, never had to go in harm's way, but the people that have, they deserve these benefits. And to start pinching pennies with them is not right. It's not right."
Fights also are likely over the task force's proposal to link insurance costs for younger retirees to the size of their pensions.
"If they're going to have an increase, it should be across the board," said retired Air Force Lt. Col. James Dellaripa, president of the Hampton Roads chapter of the Military Officers Association of America.
Dellaripa is over 65 but said he dislikes the idea of penalizing younger retirees.
"Any increases for those people that are under 65, to me, is a little unfair. They have served, and they have been promised certain benefits, and they're eroding those benefits."
Dellaripa, who stressed that he was speaking for himself and not the officers association, said he understands that "an increase is necessary, but it ought to be toned down to be realistic." Retired officers like him won't feel the pinch as much as retired enlisted personnel, he said - especially those who may still have growing families.
Along with premium increases for retirees that would be phased in over the next four years, and then adjusted annually to reflect changes in health care costs, the task force urged substantial hikes in prescription drug charges for both retirees and active duty troops.
The cost of the cheapest prescription drug at a pharmacy that participates in the military's Tricare network would jump from $3 to $15, while brand-name "nonformulary" drugs would cost $45 per prescription, up from $22 today.
Gail Wilensky, the economist who co-chaired the task force, called the proposed fees "very modest" compared to the insurance premiums paid by civilians and other federal workers. She added that the recommendations are geared toward pushing retired troops to take a larger role in managing their health care.
The military has been struggling for more than a decade with dramatic increases in its health care costs. The task force said the Pentagon's annual health care bill will hit $64 billion by 2015, more than 19 percent of the projected total defense spending that year. The services spent $39.4 billion on health care in 2007.
Dale Eisman, (703) 913-9872, dale.eisman@pilotonline.com
Kate Wiltrout, 446-2629, kate.wiltrout@pilotonline.com
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Endorse LtCol Dellaripa stand
Cudoes from Bob Tribelhorn to LtCol Dellaripa for his stand on the proposed health insurance increase. Why can't we find and correct the reason(s) for the increases in health costs in the first place?
how dare u
how r we supposed to live i am a widow and u people are forceing me to wait on tables for minor pay and my husband god rest his soul fought for your freedom and then u slap his widow in the face with a health increase how dare u ,what would u have done without our miltary manning the watch so u could sleep at nite, leaving his home for months at a time and even then things were tough on us military families and i do not draw all i am supposed to get i can barely make ends meet,so i guess if u fat cats cut out welfare like in ga. 78 percent of this state is welfare and then we got them from mississippi and la. right here and they get debit cards and do not work cut that crap out for most of them use it for drugs anyway and they were given new homes cars and enough money to hold them over and took what jobs were avail,away from us send them back to new o,hell they do not want to go would u if u have a check coming in every month and then u give them free i mean free health care and u have the nerve to hike ours up,maybe i could get in their line ,all they lost was trash anyway and most of them were renters now they own their homes,keep on giving thats what wrong with this world toda
Fact or Fiction,
Congress, the Senate and President are covered under the Federal Employees Health benefits. On average they pay about 300.00 per month for health care insurance. That doesn't include dental or vision.
Giving illegal immigrants free healthcare, education, etc.. No one supports giving illegal immigrants benefits paid for by tax payer dollars including healthcare, education, or social security. This is more of a campaign issue used by politicians to sway voters one way or the other. Also serves as a distraction form the real issues facing politicians running for election.
Veterans served this country, and should get free health care for life. One fact seems to never come up in this argument. Those who served their country after 1973 did so by choice. They weren't drafted. And nowhere in the enlistment documents did it say family health care for life.
In 1966 (CHAMPUS) Civilian Health and Medical Program for the Uniformed Services was the delivery system for military healthcare. Armed forces members didn't like having to use military resources for healthcare so in 1993 TRICARE became the healthcare system for active duty and military retirees.
Government Accounting Office report May 2007
http://www.gao.gov/new.items/d07647.pdf
DOD’s savings estimate depends largely on the assumption that the increased fees and deductibles will result in approximately 500,000 retirees and dependents under age 65 either leaving or choosing not to enroll in TRICARE—collectively referred to as avoided users—and on the assumption that each avoided user will save DOD the equivalent of the cost of providing health care to the average TRICARE beneficiary.
Saga continues
Congress/DoD wants to force retirees off Tricare by raising fees, as if we are criminally abusing the system they invented. They outlawed employer paid supplemental insurance last year. But companies don't want military retirees either. Drop Tricare and many companies require retirees to run an evidence of insurability gauntlet or large age based premiums. If you don’t sign up, they won’t offer dental or vision. We upheld our side of the bargain. You have not. Retirees can't walk in to a VA hospital expecting to be treated. You saw to that by means testing. Retirees can't receive care from a military hospital without priority of care screening. The lack of adequate military health care is the reason Tricare was developed in the first place.
Why
Aren't members of congress and the senate and the presidents charged for their health care? What are they doing that is so special that they should be entitled to free benefits? What are they doing that is so special that they are allowed to receive lifetime free benefits once they retire? Why are they even allowed to retire? They are supposed to be Public Servants, they should be required to live like those they serve, not better than! I imagine they could take all the pay raises from those multi-millionaires (public servants!) and the costs of the free benefits and fund the increase needed for the military retirees healthcare. They are getting a whole bunch of something for a whole bunch of nothing and what do we get? We get to pay more and more and more! Something is definitely wrong with this system! Brings to mind, required mandatory term limits of 2 terms, and then bye-bye, with no further or future benefits. Go get a real job like the rest of us!
More Crap From Bunker Hill
In all my years of living and the twenty-one I spent in the Marine Corps it has become apparent to me that our benefits has become less and less. It is getting to the point where those over paid so called representatives on Capital Hill (Bunker Hill) don't give a crap about the US Military retiree much less the men and women on active duty. It is time for a message to be sent to those who thought of this dumb idiotic idea of doubling a retirees health care. I for one survived Lebanon and the Gulf War and now I have to fight for reasonable health care cost that I should not have to fight for. I no longer have confidence in the decision making persons on Bunker Hill.
An Urban Myth
It is popularly believed that retired military and federal employee enjoy rather generous health benefits. That is a myth. This year we paid $5022.24 out of pocket for our government health insurance and medicare tax. We too expect bumps similar to that of retired military personnel.
Should Congress take action? Yes. Congress also should act to provide at least a modicum of coverage for thoae 47 million citizens with no health insurance.
that's one heck of a thank u
as a civilian who also feels the sting of doubled healthcare costs I will say that's a heck of a thanks for the men and women who have served this 'great' country. Yet half the nation wants to continue to give illegal immigrants free healthcare, free education and free reign to commit crime while law enforcement looks the other way. What is wrong with this picture? What is happening to this country?
When Congress Joins The Military Tricare and Pays I may listen
The president, senate and congress enjoy free health care with no fees at all. Our Military spend 20+ years to earn a low price tricare plan wheich should have remained free. Soon retirees will see no medical benifit what so ever. It will be the same as paying for Bluecross Blue Shield, via civil service. What a shame we lie and cheat out heros. God help our country its full of crooked politicians!!!!!
Free health care for vets
I think military should receive lower costs than anyone else. They served this country risking thier lives. And anyone who served a tour of duty in any war should have absolutely free health care for life! It's not like the military hospitals are the best either. We can give free health care to welfare recipients but charge veterans. Now there is something to fix!
"Very modest" indeed
Ms. Wilensky is comparing military compensation to civilians and federal workers. Most civilians aren't away from families for 15 months at a pop while they're deployed to Iraq. And comparing military to federal civil servants? Are you kidding me? A member of the State Department who goes to Iraq get a 35% pay increase in salary for hardship duty pay and another 35% increase for danger pay - a total of 70%. Not bad, especially since most of them live and work in the Green Zone and hang out at the Irish pub, and because of those evil, evil men at Blackwater not one of them has been lost on the rare occasions they do venture out. Compare this to single enlisted service members who get $100 a month for hardship duty and $225 for hostile fire pay - and they actually face danger on a daily basis. Add to this the fact that federal civil servants also get much more in base salary than their military counterparts, all get paid based on their location (whereas a few military members do in select locations) and they qualify for overtime. What's "very modest" is the compensation service members get in the first place.
Military Medical benefits
When I joined in 1984, I was promised if I completed 20 years of service and retired, I personnal would receive free medical benefits for life (Not family). Our medical care and cost of prescritions should not compare to the civilian sector for the time we served in the military and the benefits we were promised! What benefits are being taken away from US congressmen? We served, we deserve what we are entitled to.
Health Care Cost
IMHO, a war will drive health care cost dramatically higher. More daily injuries then during peace time and with a lot more long term health care issues. Did these people take that in to account? I don't know how much of an increase I could afford before saying it's too much. I know I can go to the VA but my wife and two children would then become uninsured. But this is not a real solution to the problem, just a shuffling of which Government Department foots the bill.
I also agree with the previous comment that Congress needs to do a better job with funding.
Elected Officials Stick It to Vets
A contract does not have to be "in writing" to be binding. I don't know what new recruits are being told presently but, I do know what I was told when I enlisted. "...after 20 years of faithful service your dental and medical care will be free for the rest of your life." Even if its not in "writing" I doubt that it would be difficult for me to find a few million vets to corroborate my last statement in court. I served my country as a US Marine, faithfully for 23 years, service that I am extremely proud of. My family and I were moved around the country every 3 years and lived on what would be considered very low wages by civilian standards for most of that time but we didn't complain because we understood that the sacrifice was part of the "deal". Military life is about sacrifice. One of the rewards for 20 years of sacrifice (as promised) was FREE medical care. After reading the commitees proposal I now feel like my country is treating us (veterans) like a piece of toilet paper stuck to its shoe. I have written Congresswoman Drake, Senator Warner and Senator Webb. All 3 responded with letters bemoaning the increased costs of TRICARE. I don't understand how they, and especi
Edit my previous comment.
I meant to say at a nickel a day, the cost would be $1.50 a MONTH, not year. I was so fired up I misspoke. Anyway, you get my drift. Thank you, Pentagon task force, for your gratitude!
Medical Increase For Retirees
It's quite obvious that none of the civilians involved have ever been on the front lines, always a moment away from death, protecting those at home watching CNN or Cartoon Network or playing Nintendo. As a disabled enlisted retiree I, personally, can't afford more. Yes, we are paying significantly less than our civilian counterparts - but we've earned it. Oh, and by the way, Lt Col Dilarpia is right - it is easier for a retired officer to afford a 200-300% increase than an enlisted person and, if the increase goes through, it should be across the board. Who's to say what pay their getting, how much is taxable, how much is disability, how much is a stipend based on other injuries. I'd like to see Ms. Wilensky walk one patrol in downtown Falujah or Bagdad and then say the guys and gals that have done repeated tours in this and other war zones need to pay more! Happy Holidays!
Timing is everything
2007 saw over 11,000 congressional earmarks totalling over $15 Billion. Congress implemented over 11,000 pet projects but military retirees are going to see their premiums double (at least) and copays skyrocket.
I actually wouldn't mind the increases if I thought that our elected officials were being responsible with our money. They are not. $15B is a heck of a lot of pork.
Maybe next year, congress can earmark some funds to support the troops that have gone into harms way. I think they deserve it.
...just my opinion...
Free medical care was "never promised in writing."
Imagine getting a letter telling you that you were now being charged a nickel a day to park in front of your home. When you complained, you were told, "Where does it say in writing you could park in front of your home for free? Besides ... what's $1.50 a year, right?" OK. You swallow that. Then a few years later, the fee is hiked to a dime a day. Your complaint is met with the same dismissal, "Hey! What's $3.00 a month. Quit complaining! The city needs the money and we decided to get it from you. Shut up and pay up or go park your car somewhere else!" Are you listening Ms. Drake, Mr. Scott, Senator Warner, Senator Webb? Any Virginia politician who supports these fee increases is going to face BIG problems come the next election.
Momma told me
When I was little, "Don't make a promise you can't keep"...