Advocates for seniors disagree. Many seniors can't get insurance coverage because of pre-existing conditions, even when they can afford it, says John Rother, director of legislation and public policy at the AARP, formerly the American Association of Retired Persons. When coverage is based on income, only half of those eligible actually use the benefit, partly because of the stigma, Rother says. The elderly prefer to see Medicare and Social Security as getting reimbursed for something they earned during their working years. But today's retirees paid only about one-third of the benefits they will receive during their lifetime.
Current workers pay the rest.
Medicare and Social Security have helped improve the financial well-being of seniors since the 1960s. Income has risen faster for seniors than for younger workers, and the percentage of seniors living in poverty has steadily declined while the portion of children living in poverty has risen. We have to be careful about providing a new benefit to all the elderly as opposed to helping the pockets who need help. It is generally the best coverage, too, usually without the limits on prescription-drug benefits common to privately purchased Medicare supplemental health plans. The politics of Medicare Even among seniors who already have coverage, there is a concern about the rising costs of prescription drugs.