Medicare Board of Trustees Predicts Doomsday
The Medicare Board of Trustees released the 2011 Annual Report announcing that Medicare exhaustion is predicted for 2024, a negative move from the 2029 prediction last year. Contributing factors are noted to be population aging, the large baby-boom generation entering retirement, lower-birth-rate generations entering employment, and most importantly, the continued rapid growth in health care cost per beneficiary. Additionally, the Trust itself has lower than expected interest income accruing due to a slower than expected economy recovery. If the Haro decision is upheld and CMS’ MSP recovery efforts substantially slowed, we can expect to either see this date continue to move closer or CMS to increase its MSP enforcement efforts.
The report can be found at: https://www.cms.gov/ReportsTrustFunds/downloads/tr2011.pdf