Introduce minimum out of-pocket requirements under TRICARE for Life

Introduce minimum out of-pocket requirements under TRICARE for Life


TRICARE for Life is a program used by military retirees and their family members that are eligible for Medicare. The program makes sure to pay all medical costs that are not covered by Medicare but still requires for personnel to pay a few out of pocket fees. By introducing the minimum out of pocket requirements for TFL beneficiaries, in 2020 the first $750 would be covered for the individual, but 50% of the next payments of $6,750 would be covered. All who are enrolled would not have to pay no more than $41,125 in 2020. Currently, facilities that treat military personnel only require small fees or no copayments at all for hospital services. The advantage of this option is that with greater cost sharing, there will be an increase in awareness of TFL beneficiaries’ cost of health care. According to research, cost sharing reduces medical expenditures without causing increases in adverse health outcomes for people. On the other hand, the disadvantage is that some patients especially those with low income will now be discouraged to seek preventative medical care or manage their chronic conditions, which may negatively affect their health and put them in danger in the long run (Congress of the United States Congressional Budget Office, 2016).


Implementing this option in the hospital would be effective because paying out of pocket for health care can actually be a good thing. While it may be stressful to constantly see how health care costs keep taking away from our overall take home pay in 2016, deductibles have increased by 12 percent. For those without health care insurance through their employer, the maximum for out of pocket spending for individuals are $6,000 and up to $13,000 for families before their insurance covers the rest (Restrepo, 2016). By introducing the option, minimum out of pocket requirements under TRICARE for Life would save $40 billion through the year 2019. In addition, the increase of cost sharing for certain military retirees could save $20 billion. As a country, the United States is under no obligation to take care of military personnel even after all that they have done, but what does need to happen is for them to get debt under control and prioritize spending (Health Care, 2010).









References

Congress of the United States Congressional Budget Office. (2016). Options for reducing deficit: 2017 to 2026. Retrieved from https://www.cbo.gov/sites/default/files/114th-congress-2015-2016/reports/52142-budgetoptions2.pdf


Health Care. (2010). Rethinking TRICARE benefits. Committee for a Responsible Federal Budget. Retrieved from Rethinking TRICARE Benefits

Restrepo, K. (2016). Why paying out of pocket for health care is a good thing. John Locke. Retrieved from Why Paying Out Of Pocket For Health Care Is A Good Thing