AAPR and Medicare Advantage
Obamacare kicks in and locals take a hit. The loss of Medicare Advantage has everything to do with Obamacare and its handmaiden, AARP.
Why did AARP strongly endorse Obamacare over the objections of members? Why did AARP approve the $500 billion cut in Medicare? Half that cut comes out of Medicare Advantage, the preferred plan of seven million seniors.
The dirty little secret is that over 10 years AARP stands to make an extra billion dollars from Obamacare. A windfall largely created by cuts in Medicare.
Have you noted the glut of AARP-sponsored ads for insurance companies? Are you bugged by AARP’s flood of mailings? In 2008, AARP signed a long-term contract with companies to rent the use of its name. One year later it made a cool $657 million in licensing fees. License fees for Medicare Advantage policies are a flag, negotiated rate, no matter how many policies are bought.
The loss of Medicare Advantage coverage in this area actually boosts AARP’s bottom line, as those affected may be forced to buy a Medi-Gap policy. AARP receives 4.95 percent of all premiums paid.
Some AARP executives draw down a seven-figure compensation. Republican lawmakers are calling for the IRS to see if this (so-called) nonprofit organization merits tax exemption. AARP endorsed Obamacare but, like Pelosi’s district, received a waiver to follow its dictates.
The White House visitors’ log for 12/14/2010 records the six-hour visit of AARP president Lee Hammond. Hmm-m!