Medicare for All Plan=A Big Bust 

I want to discuss Medicare for All, a major new plan that has become a major initiative of the 
2020 Democratic platform. A plan that would increase government spending on healthcare by $32.6 
trillion dollars. 
As of December 2018, the United States ​spends more​ on Medicare than most countries spend 
on their entire healthcare costs altogether. We spend roughly 4.4 trillion dollars on Medicare alone. By 
2030 at the current rate, we will be spending around 7.7 trillion dollars without including the costs of 
inflation. This is without the creation of the new Medicare for All plan assembled by the Senate 
Democrats. So, let me explain how the current Medicare system works and why Medicare for All is 
merely an ineffective utopian dream. This plan will cost around ​$32.6 trillion dollars​ at the forefront 
and additional costs will rise as the plan would take effect. This appropriation is more than our entire 
national debt combined. 
Currently 44 million beneficiaries are enrolled in the Medicare program–around 15% of the 
US population. Enrollment is expected to rise to 79 million by 2030. Only 1 in 10 
beneficiaries’ programs cover the entire costs for health care coverage. The rest have some form of 
supplemental coverage to help with medical expenses. Basically, if you’re an elderly citizen, despite the 
country providing you this benefit, you still will not be able to afford these expenses. 
To make things more complicated, there are ​four plans for Medicare coverage​. ​Plans A, B, C, 
and D. ​Whenever you turn 65 years old, you automatically are enrolled in Medicare Plans A and B. 
Plan A covers the expenses of the hospital, skilled nursing facility care, and some hospice stays. While 
Part B covers the supplemental costs, paying for services like clinician visits, outpatient care, and some 
preventive services. 
When you apply to Medicare, you are automatically enrolled in the Part A plan. You likely 
won’t have to pay a monthly premium for ​Medicare Part A​, for the people who have worked for at 
least 40 quarters in the United States and paid taxes. If you are a U.S. citizen or permanent resident and 
have not worked long enough to qualify for Medicare, and can’t qualify through a spouse, you will 
probably have to purchase Part A coverage. Part A pays about 80 percent of your Medicare-approved, 
inpatient costs for the first 60 days you are hospitalized. If you have a longer hospital stay, you will 
have to pay a larger share of the costs. But you will have to pay a yearly deductible before Medicare A 
will cover any hospital costs. This yearly deductible for Part A will increase from $1,340 in 2018 to 
$1,364 in 2019. This is just another way the government makes money off retired old people. 
While ​Medicare Plan B​, also provided to elderly individuals over the age of 65, covers the 
supplemental costs for elderly patients. Part B pays for a portion of your doctor visits, some home 
health care, medical equipment, outpatient procedures, rehabilitation therapy, laboratory tests, X-rays, 
mental health services, ambulance services and blood. Unlike Part A, B is still optional, and you can 
opt out of Part B if you still have health insurance through an employer, union, your spouse, etc. Part 
B requires that you pay a monthly premium and a deductible for Medicare that must be provided 
before Part B begins paying for services. The standard monthly premium for Medicare Part B enrollees 
will be $135.50 for 2019, an increase of $1.50 from $134 in 2018. While, the annual deductible for all 
Medicare Part B beneficiaries is $185 in 2019, which is two dollars more since the $183 in 2018. 
Now here is where ​Part B​ gets complicated, when you arrive at the Hold-Harmless Clause. 
According to Business Dictionary, the Hold Harmless Clause is a provision in an agreement under 
which one or both parties agree not to hold the other party responsible for any loss, damage, or legal 
liability. In effect, this clause indemnifies the parties on a unilateral or reciprocal basis (as the case may 
be). See also indemnity clause. An estimated 42 percent of all Part B enrollees are subject to the hold 
harmless provision in 2018 and will pay the full monthly premium of $134. This is because the 
increase in their Social Security benefit will be greater than or equal to an increase in their Part B 
premiums up to the full 2018 amount. While about 28 percent of all Part B enrollees are subject to the 
hold harmless provision in 2018 and will pay less than the full monthly premium of $134. This is 
because the increase in their Social Security benefit will not be large enough to cover the full Part B 
premium increase.  
Here is the clincher, Part B is not able to cover all of the supplemental costs for the elderly. 
With the costs continually escalating, seniors must look to other forms of insurance either Employer 
Based Healthcare, Medicaid (only if they are qualified. So the government encourages the seniors to 
apply for their so-called platinum package. This package has a very creative name, Medicare 
Advantage, or in short-form Medicare Part C. 
The Medicare Advantage Plan or Medicare Part C ​has approximately 9.4 million beneficiaries 
(one-fifth of the Medicare beneficiaries). Many of the beneficiaries, automatically receive this so-called 
platinum package through private plans. These plans are offered by private companies that contract 
with Medicare, and can cost around $183 per year. After your deductible is met, you typically pay 20% 
of the Medicare-approved amount for most doctor services (including most doctor services while 
you’re a hospital inpatient), outpatient therapy, and durable medical equipment. The Part C monthly 
premium varies by plan. But if you are receiving Part C coverage, then you are already paying for Part 
A and Part B. Under Part C or the Medicare Advantage Plan, you are provided with all of your Part A 
and Part B benefits along with additional perks. Medicare Advantage Plans include Health 
Maintenance Organizations, Preferred Provider Organizations, Private Fee-for-Service Plans, Special 
Needs Plans, and Medicare Medical Savings Account Plans. If you’re enrolled in a Medicare 
Advantage Plan, most Medicare services are covered through the plan, not all Medicare services are 
paid for by Original Medicare in Parts A and B. And, most Medicare Advantage Plans offer 
prescription drug coverage, which is nonexistent in Parts A and B.  
Basically, in short, Part A and B rarely covers any of the elderly hospital costs and receive a 
major bulk of the current $4.4 trillion appropriations. If you want to be upgraded and receive the best 
insurance that your tax money should be paying for, you have to pay extra for Medicare C. But it 
covers some drug costs, unlike Part A and Part B. For drugs, you need the fourth medical plan, 
Medicare Part D. 
Medicare Part D​ provides prescription drug coverage and covers an estimated 25.4 million 
beneficiaries through a combination of stand-alone prescription drug plans and Medicare Advantage 
plans that include drug coverage. ​Part D ​adds prescription drug coverage too: Original Medicare, 
Some Medicare Cost Plans, Some Medicare Private-Fee-for-Service Plans, and Medicare Medical 
Savings Account Plans. These plans are offered by insurance companies and other private companies 
approved by Medicare. Medicare Advantage Plans may also offer prescription drug coverage that 
follows the same rules as Medicare Prescription Drug Plans. To receive the Medicare Part D 
Prescription Drug Plan coverage, you must pay a higher monthly premium, if you go 63 or more 
consecutive days without creditable prescription drug coverage after your IEP. Creditable prescription 
drug coverage is coverage that is expected to pay at least as much as standard Medicare prescription 
drug coverage, on average. 
Currently, Medicare calculates the late-enrollment penalty by multiplying the 1% penalty rate 
of the “national base beneficiary premium”, around $35.02 in 2018, by the number of full, uncovered 
months you were eligible to enroll in a Medicare Prescription Drug Plan but did not (assuming you 
didn’t have other creditable prescription drug coverage). The final amount is rounded to the nearest 
$0.10 and added to your monthly premium. You also have the “national base beneficiary premium”. 
This premium may go up each year, so the penalty amount may also go up every year. In addition to 
your premium each month, you may have to pay this penalty for as long as you have a Medicare 
Prescription Drug Plan. This is the worst part of Medicare. Basically, this is a sales tax to help pay for 
drugs. But because your 4.4 trillion cannot appropriate enough funds to the higher drug costs, the 
elderly should pay an additional fee for using a service that they already pay for. 
The biggest problems with the Medicare for All Plan and the current Medicare System revolve 
around Part D. The average nationwide monthly premium for 2018 Part D is $34, although plan costs 
vary depending on the plan you choose and where you live. You will generally only want to choose a 
plan with low premiums if it also has the lowest overall cost per year, including the costs for the drugs 
you take. There is also a “catastrophic coverage” provision. This means that, once a patient’s annual 
out-of-pocket costs have reached $4,950 out of pocket in 2017, he or she will pay only a small 
co-insurance amount or co-payment for all covered drugs over the remainder of the year. This is a kind 
of insurance that protects you against high drug costs if and when you need it in the future. In these 
circumstances, consider enrolling in the Part D plan in your area that has the lowest premium, which 
would give you coverage at the least cost. 
This is why Medicare for All won’t work. The US government struggles to make ends meet 
already when they provide coverage to ​$47.8 million people​. So how will the coverage improve when 
the amount of people rises to another 150 million people. The math and the logic both don’t add up. 
Plus, what about the seniors, that have worked their entire lives and have paid taxes into this Medicare 
system. They receive absolutely no benefits from this atrocious plan, if anything now they will pay 
more money for less. Just think about it if more people have coverage: taxes will increase, the amount 
of people that regularly visit the hospitals (causing waiting lines), and the amount of doctors are still 
relatively going to stay the same. It’s not a cost-affordable or practical plan, forget politics, these are 
just the facts fiscally.  
Overall, with the ​escalating costs in drug prices and increased hospital visits​, the plan for 
providing Medicare to all citizens will not work. The elderly have higher hospital costs visits and need 
expert medical attention at a higher rate than all other demographics. And by expanding this coverage 
to non-elderly beneficiaries, you reduce the elderly benefits to an even greater degree. So, these 
Progressive lawmakers must ask themselves, that when the elderly are not able to receive the most 
effective treatment and services, from our heavy appropriations to Medicare; how will we manage to 
afford providing Medicare services to all American citizens? These issues remain the biggest problem 
for this not-too-well-thought-out overly expensive idea, and only spells failure in the New Progressive 
agenda concerning healthcare in the years ahead.