Legislative Amendment Would Avoid Adverse Effects on Disabled Beneficiaries Gao ID: HRD-87-135 September 28, 1987

GAO provided information on a Medicare amendment requiring certain employer-sponsored group health insurers that cover disabled beneficiaries to pay those beneficiaries' medical claims before Medicare, to determine whether the law applies to government-sponsored health plans.

GAO found that: (1) the Health Care Financing Administration believes that the law applies to government-sponsored plans; (2) administrators of federal, state, and local government-sponsored plans believe that it does not; (3) because of this disagreement, disabled beneficiaries with health coverage under Medicare and a government-sponsored plan could receive no payment for their claims; and (4) if the law does not apply to government-sponsored plans, projected Medicare savings will not be realized.


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