As the 2024 election approaches, many Americans are paying close attention to how potential changes in leadership could impact key programs like Medicare. Medicare, the federal health insurance for people ages 65 and older, certain younger people with disabilities, and people with end-stage renal disease (ESRD), is often a significant topic of discussion during election cycles.

Healthcare issues, especially the affordability and quality of healthcare, is not only deeply personal for voters but it also impacts many industry stakeholders who seek influence through the political landscape, which is why it often plays a major role in political campaigns and elections. Read on to learn more about how the upcoming election could influence Medicare and what you can do about it. 

Current landscape of Medicare

Medicare is a critical program for more than 67 million Americans, nearly 90% of whom are ages 65 and older. It provides healthcare coverage that includes hospital insurance (Part A) and medical insurance (Part B), and gives options for Medicare Advantage (Part C) and prescription drug coverage (Part D). Changes to Medicare can have widespread implications, so it’s no surprise that it becomes a focal point during elections.

As of now, there are no definitive proposals from either major party that indicate drastic changes coming to Medicare soon. However, historical trends and political discussions over the last few years could offer some insight into potential directions.

Historical Medicare reform in elections

To understand how the 2024 election may impact Medicare, it’s helpful to look at what has happened historically:

Medicare was signed into law legislation in 1965 by President Lyndon B. Johnson, stemming from a long history of healthcare insurance challenges and iterations. Over the past 40 years, the story of Medicare has been one of experimenting with coverage and cost while also trying to maintain the quality of care for members. In the 1970s, the program was expanded to include beneficiaries of Social Security disability insurance and people with ESRD, and Part C was introduced in the 1990s.

In 2003, the Medicare Prescription Drug, Improvement, and Modernization Act laid groundwork for prescription drug benefits for those with Medicare, allowing beneficiaries to enroll in private plans that would contract with Medicare to provide drug coverage. 

In 2010, the Affordable Care Act (ACA) signed by President Barack Obama brought changes to Medicare aimed at reducing costs and improving care quality, and included measures to close the prescription drug “donut hole” and reduce payments to Medicare Advantage plans.

What is Medicare for All?

In 2020, a number of prominent candidates supported Medicare for All, which encompassed a variety of proposals that would expand the role of public programs in health care. Essentially, these proposals were summarized as moving the U.S. from our current multi-payer health care system to a single-payer system, with the goal of a single, publicly funded health system for Americans.

While there was contention over how to create one single proposal and how the plans would be implemented, it was generally agreed upon that this was a goal worthy of being worked toward. Some similarities the proposals shared included a replacement for all private health insurance, including the current Medicare program, comprehensive benefits, tax financing, no premiums, lifetime enrollment, and that all state-licensed, certified providers who meet eligible standards could apply.

While the current Medicare program wouldn’t disappear, it could be expanded to cover more people and include much more robust benefits, as well as have much lower out-of-pocket costs.

Medicare and the 2024 election

Sweeping changes in health policy, such as the passage of Medicare for All, are difficult to implement. Particularly in today’s political environment, the passage of Medicare for All or similar programs would demand such fundamental shifts in financing and healthcare coverage that it would be a long road before it was a reality.

That said, studies have found that much of the public favors Medicare for All, which could have some influence on how strongly policy changes are addressed and moved forward.

In 2024, candidates may propose changes to Medicare to address issues like rising healthcare costs, drug pricing, and access to care. Any such proposals would be scrutinized and debated heavily, potentially leading to legislative action post-election. Some ideas discussed in the past that could be resurfaced include:

• Reigning in drug costs through price negotiations, which could impact Part D prescription drug plans
• Lowering annual out-of-pocket caps for Medicare
• Increasing eligibility age for Medicare
• Reforming Medicare Advantage plans to reduce costs overall
• Increasing payroll taxes (though this is a relatively unpopular option with voters)

The good news is there hasn’t been much conversation now or in the past about reducing benefits and overall coverage.

The broader economic environment can also influence Medicare funding and policy. Economic downturns or upswings could affect the availability of resources for Medicare and other government programs, which in turn could impact proposed changes and plans.

Because of the unsure future of Medicare, it’s likely people voted into office in 2024 will play a major leading role in determining reform and what the program looks like in the future. However, what that looks like exactly is still to be determined.

What can you do?

Historically, significant changes to Medicare have often required bipartisan support. Voter concerns and advocacy group pressures can help shape the priorities of elected officials. Whether you’re already a Medicare beneficiary, are approaching Medicare-age, or are years away but concerned about your future healthcare coverage and costs, there are primarily two things you can do today:

1. Stay informed about what plans and proposals are being discussed regarding Medicare and healthcare coverage.
2. Vote for the people who you believe would support or bring about the change that aligns most with your needs and views.

As the 2024 election unfolds, the potential impact on Medicare will become clearer. While there are no guarantees of major changes, the election outcomes could set the stage for future discussions and policy decisions regarding Medicare.  

And when it comes to Medicare, one plan does not fit all. At ClearMatch Medicare, it’s our mission to match you to the policy that best serves your unique needs. You can compare plans in your area to get started finding the right coverage for you. Or, call to speak with one of our knowledgeable licensed insurance agents.

Additional resources

• ClearMatch Medicare: Find a Plan
• Data.CMS.Gov: Medicare Monthly Enrollment