Congressman Ben Ray Luján of New Mexico's Third District highlighted a recently released report on the impact the House Republican plan to turn Medicare into a voucher program would have on out-of-pocket costs for New Mexico seniors. According to a report by the Congressional Joint Economic Committee, New Mexico seniors will pay more than twice as much in out-of-pocket costs in 2022 under the Republican plan.
"With many of New Mexico's seniors struggling to make ends meet, the Republican plan to end Medicare as we know it doubles the out-of-pocket costs for seniors that are living on a fixed income," Congressman Luján said. "This misguided plan will force seniors to pay more or see their benefits reduced."
The Republican plan leaves seniors to purchase private health insurance with a government voucher that will not keep pace with the rising cost of health care. As a result, New Mexico's seniors, who now pay approximately $4,600 in out-of-pocket expenses, will see those costs increase by more than $4,750 over the next decade as a result of the Republican plan.
It has also been estimated by the Center for Economic and Policy Research that 55-year-old Americans would have to save an additional $182,000 for retirement just to cover their health insurance costs should the Republican plan become law. The Republican plan also increases the cost of prescription drugs for those seniors already receiving Medicare by re-opening the donut hole in Medicare Part D. This provision alone would force 21,400 New Mexico seniors to pay $12 million more for prescription drugs next year.