Better Health Rewards Program Act of 2012

Floor Speech

Mr. WYDEN. Mr. President, I wish to advocate for legislation my colleague, Senator Portman, and I have coauthored that focuses on driving better health outcomes for America's seniors through the use of real, positive financial incentives.

I think we can all agree on a theory--the best health care is often the least expensive, and it is often health care you can have real control over--prevention.

According to the Hastings Center, 76 percent of Medicare spending is on patients with five or more chronic diseases: stroke, heart disease, diabetes and cancer lead the way. And with $2.7 trillion spent annually on health care, one of the best ways to slow the growth of that spending is to keep Americans healthier, and to do that, we have to reduce the prevalence of chronic disease.

I think Medicare can help spark that transformation. It is a large Federal program, some of the smartest health policy links the Federal Government and the private sector, and, most important, the Federal Government already pays for seniors to have an annual physical.

At present, when seniors leave that physical, too often there is no game plan or specific steps a senior can take to get healthier in the year ahead. Seniors get a bunch of numbers about their tests, possibly a prescription, and some medical lingo about their general health, but mostly everyone just hopes things will turn out OK at the next physical. Maybe it was an OK year, and that extra dessert wasn't a problem after all.

We believe that if the Federal Government is already paying for that physical, it is only common sense to wring every possible advantage for seniors out of it, specifically by giving seniors the tools to make changes that promote good health and reward them for staying motivated.

That is exactly what the bill I have written with Senator Portman does. Typically, the assumption has always been that preventive care means more services. But in this case, government already pays for the service--the $3.8 billion on the annual wellness visit--and we are saying, let's get more out of that visit.

Here is how our legislation--the Medicare Better Health Rewards Program Act--would do that:

First, it is voluntary. Since we hear a little discussion about mandates these days, this is voluntary.

In year 1, a senior has their physical, has their tests run, and their health provider has a conversation with them about their health. They come up with a plan to use the next year so that the senior can get healthier. The provider then lets Medicare know their patient is participating.

In year 2, the senior comes back for their next annual wellness visit. Again, tests are run, and they discuss the changes that may have occurred over the last year. If they have gotten healthier and their provider confirms it, they are eligible for a Healthy Reward. If they haven't, they still had their physical at no out of pocket cost to them. Their provider still gets paid. The same happens again in year 3.

Finally, the money to pay these rewards comes from the fact that as participating seniors get healthier, Medicare is spending less money on them. They are saving the system money. If that occurs, those seniors who are getting healthier will be able to share in the savings.

Bottom line: Innovation is rampant in American health care, and we are here with a new strategy to bring a fresh wave of innovation to Medicare.

I would like to thank Senator Portman for working with me on this new approach to Medicare reform, and I urge my colleagues to join us in cosponsoring our legislation.

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