ERIC Urges CMS to Eliminate Proposed cut to Medicare Advantage Retiree Coverage

March 21, 2016

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The Honorable Andy Slavitt
Acting Administrator
Centers for Medicare and Medicaid
Department of Health and Human Services
200 Independence Avenue, SW, Room 445-G
Washington, DC 20201

Dear Acting Administrator Slavitt,

As a growing, diverse coalition of 50 stakeholder organizations representing organized labor, retired teachers, municipal governments, private employers and Medicare Advantage (MA) plans, the Coalition to Save Medicare Advantage Retiree Coverage urges the Centers for Medicare and Medicaid Services (CMS) to eliminate the proposed cut to MA Retiree Coverage—also known as Employer Group Waiver Plans (EGWPs)—in the 2017 Final Notice set to be released on April 4th.

We are all committed to ensuring retirees have access to high-quality, affordable health care coverage. We share serious concerns about the impact the proposed cut will have on MA Retiree Coverage.

Three reports, including CMS’s own analysis, confirm that MA Retiree Coverage will be cut by at least 2.5% if this proposal is implemented. This new cut could lead to higher costs, reduced benefits and fewer choices for 3.3 million retirees in 2017.

All across the nation, retirees, from all walks of life, value the high-quality, affordable health care provided by MA Retiree Coverage. We urge CMS to protect seniors enrolled in MA Retiree Coverage by rescinding this proposed cut.

Thank you for your consideration of our concerns.

Sincerely,

The ERISA Industry Committee
1199 SEIU United Healthcare Workers East
Aetna
American Benefits Council
Arizona Chamber of Commerce and Industry
Associated Industries of Florida
Associated Oregon Industries
Association for Behavioral Health and Wellness
Boilermakers National Funds
Business Council of Alabama
California Chamber of Commerce
Carpenters’ Health and Welfare Trust Fund of St. Louis
Chamber of Commerce Southern New Jersey
Commerce and Industry Association of New Jersey
Council for Affordable Health Coverage
Deere & Company
Delaware State Chamber of Commerce
Express Scripts
Florida Chamber of Commerce
Georgia Association of Manufacturers
Greater Philadelphia Chamber of Commerce
Greater Pittsburgh Chamber of Commerce
Healthcare Leadership Council
Humana
Illinois Manufacturers’ Association
Indiana Chamber of Commerce
Kentucky Teachers’ Retirement System
The Latino Coalition
MetLife
Michigan Chamber of Commerce
National Association of Counties
National Association of Manufacturers
National Business Group on Health
National Retail Federation
Nevada Manufacturers Association
New Jersey Business & Industry Association
New Jersey State Chamber of Commerce
Nokia
Oregon Building Trades Council
Oregon Business Association
Pacific Business Group on Health
Pennsylvania Chamber of Business and Industry
Salt Lake Chamber of Commerce
Service Employees International Union (SEIU)
State Chamber of Oklahoma
Texas Association of Business
TriMet
UnitedHealth Group
U.S. Chamber of Commerce
Verizon
Virginia Chamber of Commerce
West Virginia Association of Retired School Employees
CC:
The Honorable Sylvia Burwell, Secretary, U.S. Department of Health and Human
Services
The Honorable Denis McDonough, Chief of Staff, White House
The Honorable Kevin Brady, Chairman, U.S House of Representatives Committee on
Ways and Means
The Honorable Sander Levin, Ranking Member, U.S House of Representatives
Committee on Ways and Means
The Honorable Fred Upton, Chairman, U.S House of Representatives Committee on
Energy and Commerce
The Honorable Frank Pallone, Jr., Ranking Member, U.S House of Representatives
Committee on Energy and Commerce
The Honorable Orrin Hatch, Chairman, U.S. Senate Committee on Finance Committee
on Finance
The Honorable Ron Wyden, Ranking Member, U.S. Senate Committee on Finance
Committee on Finance