Expanding health insurance to cover everyone over the age of 51 might help save costs to Medicare in the long run, according to a new study reported in the Annals of Internal Medicine.
People between the ages of 51 and 65 who have intermittent health insurance or none at all end up costing Medicare about $1,023 more per year when they turn 65 than people who have had coverage all along, the report says.
That is largely because those without coverage usually put off treatment until they get Medicare, and by then their problems have become worse. It is particularly true for those with cardiovascular disease and diabetes and those who delay surgeries for arthritis, according to the study.
Once they start receiving Medicare, the report said, those with heart disease or diabetes are 48 percent more likely to be hospitalized for complications than those who have had coverage all along. Those with severe arthritis are 86 percent more likely to undergo hip and knee replacements once they start getting Medicare.
Medicare pays $5,796 a year for those over 51 who have not had insurance before, the study found, while it pays $4,773 for those who have been covered.
Expanding coverage to these adults would cost $197 billion over four years, the report said. But it would reduce subsequent spending by $98 billion, meaning the overall net cost over four years would be $99 billion.
The report’s principal investigators were J. Michael McWilliams and John Ayanian, both of Harvard Medical School. The study was paid for by the Commonwealth Fund, which supports an overhaul of the health care system but does not advocate for specific legislation.
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