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WASHINGTON – First District Congressman Paul Ryan today expressed great concern over Blue Cross & Blue Shield United of Wisconsin's decision to drop its Medicare HMO (MedicareBlue) after December 31, 2001.  After that point, Medicare recipients in Wisconsin, including seniors in Kenosha, Racine, and Walworth counties will no longer have access to coverage through MedicareBlue.  Blue Cross & Blue Shield has cited inadequate federal reimbursements for the Medicare+Choice program, with losses of $27.9 million since 1998.

"The news that MedicareBlue will no longer be available after the end of this year comes as a difficult blow to many Kenosha, Racine, and Walworth County seniors," Ryan said. "This is especially frustrating, because we could see this coming.  We know what the problems with the current system are.  The bottom line is that Medicare pays less of a reimbursement for health care provided for southern Wisconsin seniors than for seniors in many other parts of the country.  Because our reimbursement rates are very low compared to those that apply in other states such as Florida and New York, it drives providers like Blue Cross & Blue Shield from offering Medicare HMOs in our state.  This ultimately means less choice and greater expense for Wisconsin seniors, which is simply unacceptable."

"In Congress, we made some headway last year in raising reimbursement rates in our area.  Unfortunately, gross disparities still exist between southern Wisconsin's reimbursement rates and rates in other parts of the country.  That's why I have long advocated comprehensive Medicare reform to fix the system once and for all and make it fair for Wisconsin seniors.  Congress was poised to take on Medicare reform in early October this year, which is expected to rewrite these formulas.  Unfortunately, the national tragedy has delayed consideration of this issue, but I am hopeful that we can address this critical reform before the end of the year and ensure an equitable reimbursement rate for Wisconsin seniors," Ryan said.

Affected plan participants who have questions about the termination of Blue Cross & Blue Shield's HMO plan for Medicare beneficiaries, can call Blue Cross, Monday – Friday, 7:00 am – 5:00 pm at the following number: 1-800-368-5031  (TDD: 1-800-297-1538)

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