Republican claims Democrats cut billions from Medicare. Why that's misleading. - Insurance News | InsuranceNewsNet

InsuranceNewsNet — Your Industry. One Source.™

Sign in
  • Subscribe
  • About
  • Advertise
  • Contact
Home Now reading Newswires
Topics
    • Advisor News
    • Annuity Index
    • Annuity News
    • Companies
    • Earnings
    • Fiduciary
    • From the Field: Expert Insights
    • Health/Employee Benefits
    • Insurance & Financial Fraud
    • INN Magazine
    • Insiders Only
    • Life Insurance News
    • Newswires
    • Property and Casualty
    • Regulation News
    • Sponsored Articles
    • Washington Wire
    • Videos
    • ———
    • About
    • Meet our Editorial Staff
    • Advertise
    • Contact
    • Newsletters
  • Exclusives
  • NewsWires
  • Magazine
  • Newsletters
Sign in or register to be an INNsider.
  • AdvisorNews
  • Annuity News
  • Companies
  • Earnings
  • Fiduciary
  • Health/Employee Benefits
  • Insurance & Financial Fraud
  • INN Exclusives
  • INN Magazine
  • Insurtech
  • Life Insurance News
  • Newswires
  • Property and Casualty
  • Regulation News
  • Sponsored Articles
  • Video
  • Washington Wire
  • Life Insurance
  • Annuities
  • Advisor
  • Health/Benefits
  • Property & Casualty
  • Insurtech
  • About
  • Advertise
  • Contact
  • Editorial Staff

Get Social

  • Facebook
  • X
  • LinkedIn
Newswires
Newswires RSS Get our newsletter
Order Prints
November 3, 2018 Newswires
Share
Share
Post
Email

Republican claims Democrats cut billions from Medicare. Why that’s misleading.

News & Observer (Raleigh, NC)

Nov. 03--Health care is a hot-button issue this election season. Candidates have thrown around quite a few numbers while accusing their opponents of either supporting or opposing some key health-care legislation.

In a closely fought campaign for North Carolina's 9th Congressional District, Republican Mark Harris is following suit after his Democratic opponent, Dan McCready, accused Harris of wanting to cut Social Security and Medicare. We recently checked McCready's claim and found it to be Half True. Harris has not supported any plans that would immediately cut these two programs, but has expressed that he wants an "overhaul" of Social Security.

A Facebook ad, paid for by Harris, addresses this claim directly.

"My opponent attacks me, alleging I want to cut Social Security and Medicare, when it was the liberal Democrats who back his campaign that cut $716 BILLION from Medicare to fund their healthcare scheme: Obamacare," the ad said. The ad has been running since Oct. 22, 2018.

We are specifically checking if $716 billion was "cut" from Medicare in order to pay for Obamacare, also known as the Affordable Care Act, President Barack Obama's signature health law passed in 2010. It. This is a claim PolitiFact has checked numerous times. Politicians have been using the $716 billion number since at least 2012.

Old claim and old number

In 2012, PolitiFact checked a similar claim from presidential candidate Mitt Romney and rated it Half True. Paul Ryan, Romney's vice presidential pick in 2012 and now the speaker of the House, made a similar claim that year that got him a Mostly False rating. Finally, a 2015 claim by former Arkansas Gov. Mike Huckabee was rated Half True. And there are many more.

Politicians often were using the right number but the wrong context.

Asked where Harris's $716 billion figure comes from, Jason Williams, his campaign manager, shared a link of a Washington Post blog post from 2012. The article says Mitt Romney, former Republican presidential candidate, is right in saying Obamacare cuts the Medicare budget by $716 billion. And while there was a cut in spending, there was never a loss of services or a decrease in quality of services.

But that article is more than six years old, and so are the government numbers it relies upon. So let's take a fresh look.

Cutting benefits?

Harris's claim makes it sound like the ACA cut benefits for the elderly.

Matthew Fiedler from the Brookings Institution, a center-left think tank, says there isn't any evidence of that.

"The implication when this claim was made is that these harmed Medicare beneficiaries. That implication is not accurate. These were changes that reduced what physicians and hospitals received from Medicare," Fiedler said.

The ACA aimed in part to bring down the future growth of costs in Medicare, offsetting some of the cost of the law.

An analysis from the Congressional Budget Office, from 2011, says the health-care legislation would "permanently reduce the growth of Medicare's payment rates for most services."

"You might suggest maybe that reductions in payments may have reduced the quality in care. I don't think there is a whole lot of evidence of that," Fiedler said. "Various other changes were aimed at giving hospitals and physicians incentives to provide better care."

Fiedler said that prior to the ACA, people were paying more for medical services than they needed to in order to cover the costs. After the ACA, premiums and co-payments went down, saving Medicare beneficiaries money.

The $716 billion figure was an estimate of how much would be saved. But that was a projection, and while Obamacare has been in effect for years, PolitiFact wasn't able to find a recent estimate of what happened in reality.

Any repeal or replacement bill that has passed through Congress actually included these same provisions, even Republican plans, according to Tricia Neuman, the senior vice president at the Kaiser Family Foundation, a health care policy organization.

"Subsequent proposals to repeal the ACA retained those Medicare savings. It's sort of having it both ways for criticising ACA savings, but keeping them in subsequent proposals," Neuman said of Republicans.

Neuman also said that the ACA improved drug coverage and preventative services for Medicare beneficiaries.

PolitiFact's rating

Harris's number would've been closer to the truth if this was 2012 and not 2018. However, his use of the number also gives a false impression. The number actually represented a projection of how much federal money Obamacare would save over the years, mainly at the expense of insurers, medical providers and hospitals.

We rate this claim Mostly False.

This story was produced by the North Carolina Fact-Checking Project, a partnership of McClatchy Carolinas, the Duke University Reporters' Lab and PolitiFact. The NC Local News Lab Fund and the International Center for Journalists provide support for the project, which shares fact-checks with newsrooms statewide.

___

(c)2018 The News & Observer (Raleigh, N.C.)

Visit The News & Observer (Raleigh, N.C.) at www.newsobserver.com

Distributed by Tribune Content Agency, LLC.

Older

Help from friends, PACs and Hollywood fuels first-time candidates in NC

Newer

Steil, Paul Ryan meet up on campaign trail

Advisor News

  • Younger investors turn to ‘finfluencers’
  • Using digital retirement modeling to strengthen client understanding
  • Fear of outliving money at a record high
  • Cognitive decline is a growing threat to financial security
  • Two lessons career changers wish they knew before starting the CFP journey
More Advisor News

Annuity News

  • FACC and DOL enter stipulation to dismiss 2020 guidance lawsuit
  • Zinnia’s Zahara policy admin system adds FIA chassis to product library
  • The Standard and Ignite Partners Announce Launch of Thrive Plus Fixed Indexed Annuity
  • CareScout Joins Ensight™ Intelligent Quote LTC & Life Marketplace
  • Axonic Insurance Annuities, Built for Banks, Broker-Dealers and RIAs, Now Available through WealthVest.
More Annuity News

Health/Employee Benefits News

  • Researchers at Northwestern University Feinberg School of Medicine Report Findings in Cataract Surgery (Evaluating Metrics Assessing Surgical Success in Patients Undergoing Cataract Surgery): Surgery – Cataract Surgery
  • Studies Conducted at University of Florida on Managed Care Recently Reported [Risk of Fetal Exposure to Teratogenic Medications: Development of Evidence for the Teratogenic Risk Impact and Mitigation (TRIM) Tool]: Managed Care
  • 5 ways to navigate health care costs and coverage with confidence
  • UnitedHealthcare’s mission control targets customer woes to build its brand
  • NC State Health Plan expects to spend $1 billion more than planned. Here’s why
More Health/Employee Benefits News

Life Insurance News

  • Best's Market Segment Report: AM Best Maintains Stable Outlook on France's Life Insurance Segment Despite Global Economic Uncertainty, Increased Geopolitical Risks and Domestic Political Instability
  • Iowa widow claims premium-financed IUL plan jeopardized family farm
  • Redefining life insurance for a new era of trust and protection
  • Agam Capital and 1823 Partners Announce Strategic Partnership to Provide Life Insurers with an End-to-End Value Chain Solution
  • AM Best Revises Outlooks to Positive for Western & Southern Financial Group, Inc. and Its Subsidiaries
More Life Insurance News

- Presented By -

Top Read Stories

More Top Read Stories >

NEWS INSIDE

  • Companies
  • Earnings
  • Economic News
  • INN Magazine
  • Insurtech News
  • Newswires Feed
  • Regulation News
  • Washington Wire
  • Videos

FEATURED OFFERS

Protectors Vegas Arrives Nov 9th - 11th
1,000+ attendees. 150+ speakers. Join the largest event in life & annuities this November.

A FIA Cap That Stays Locked
CapLock™ from Oceanview locks the cap at issue for 5 or 7 years. No resets. Just clarity.

Aim higher with Ascend annuities
Fixed, fixed-indexed, registered index-linked and advisory annuities to help you go above and beyond

Unlock the Future of Index-Linked Solutions
Join industry leaders shaping next-gen index strategies, distribution, and innovation.

Leveraging Underwriting Innovations
See how Pacific Life’s approach to life insurance underwriting can give you a competitive edge.

Bring a Real FIA Case. Leave Ready to Close.
A practical working session for agents who want a clearer, repeatable sales process.

Press Releases

  • RFP #T01325
  • RFP #T01325
  • RFP #T01825
  • RFP #T01825
  • RFP #T01525
More Press Releases > Add Your Press Release >

How to Write For InsuranceNewsNet

Find out how you can submit content for publishing on our website.
View Guidelines

Topics

  • Advisor News
  • Annuity Index
  • Annuity News
  • Companies
  • Earnings
  • Fiduciary
  • From the Field: Expert Insights
  • Health/Employee Benefits
  • Insurance & Financial Fraud
  • INN Magazine
  • Insiders Only
  • Life Insurance News
  • Newswires
  • Property and Casualty
  • Regulation News
  • Sponsored Articles
  • Washington Wire
  • Videos
  • ———
  • About
  • Meet our Editorial Staff
  • Advertise
  • Contact
  • Newsletters

Top Sections

  • AdvisorNews
  • Annuity News
  • Health/Employee Benefits News
  • InsuranceNewsNet Magazine
  • Life Insurance News
  • Property and Casualty News
  • Washington Wire

Our Company

  • About
  • Advertise
  • Contact
  • Meet our Editorial Staff
  • Magazine Subscription
  • Write for INN

Sign up for our FREE e-Newsletter!

Get breaking news, exclusive stories, and money- making insights straight into your inbox.

select Newsletter Options
Facebook Linkedin Twitter
© 2026 InsuranceNewsNet.com, Inc. All rights reserved.
  • Terms & Conditions
  • Privacy Policy
  • InsuranceNewsNet Magazine

Sign in with your Insider Pro Account

Not registered? Become an Insider Pro.
Insurance News | InsuranceNewsNet