NU Online News Service, June 15, 2005 3:15 p.m. EDT -
While Medicare’s financial condition shows no deterioration in 2005, current trends do require immediate action, said a report issued recently by the American Academy of Actuaries.
The AAA Issues Brief quoted the 2005 Medicare Trustees Report saying the Hospital Insurance trust fund, which pays for hospital services, will be depleted one year later than previously expected, but HI expenditures now exceed HI non-interest income.
“In addition, Medicare expenditures will continue to consume an increasing share of federal outlays and GDP,” the trustees reported stated.
The Academy’s Medicare Steering Committee did express concern about certain financial trends evident in the Trustees’ report.