PROVIDENCE – Medicare contributes $2.5 billion to Rhode Island’s economy, equivalent to 21 percent of state and local government spending in the state, according to a new report from AARP, which underlined the importance of the health benefit for elderly and disabled Americans during the election year.
Medicare also covers 192,186 beneficiaries in Rhode Island, according to information from the Public Policy Institute, which analyzes data from the Centers for Medicare and Medicaid Services, said John M. Martin, associate state director for communications for the AARP.
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“Medicare is a major economic engine in our economy security, as well as a key part of providing health security to Rhode Islanders,” said AARP State Director Kathleen Connell.
Connell also referenced recent AARP/Politico polls of Arizona and Florida voters on the importance of Medicare.
“Older Americans have said Medicare is one of their top issues in this election, yet too many politicians fail to recognize the contributions Medicare makes to the economy and our residents. Any candidate who fails to talk about how they would strengthen Medicare for future generations does so at their peril.”
The AARP also released a breakdown of Medicare’s spending in Rhode Island:
- $1.1 billion for hospitals
- $551 million for doctors
- $338 million for prescriptions and medical supplies
- $198 million for skilled nursing facilities
- $159 million for home healthcare agencies
- $92 million health professionals
- $24 million for medical equipment
Businesses in Rhode Island receiving Medicare dollars use them to pay employees’ salaries, rent, state and local taxes, and buy equipment, and make capital improvements to their facilities, Martin said.
Recently, AARP worked to help close the Medicare Part D doughnut hole a year early – a victory for older Americans that the pharmaceutical industry is working to undo. AARP has also long opposed efforts that would reduce benefits or shift costs onto consumers by turning Medicare into a voucher program. Such a move would dramatically increase people’s health care costs, and expose current and future retirees to greater financial risk.
AARP’s “Be The Difference. Vote” campaign includes a one-stop online portal for information about this year’s elections.
Rob Borkowski is a PBN staff writer. Email him at Borkowski@PBN.com.
