Nebraska seniors paying more for medical equipment under new law

LINCOLN, Neb. (KLKN) – A Lincoln medical equipment provider says a new law is hurting Nebraska seniors.

Curt White, the owner of Nebraska Scooter Mart, said a bill passed last year is making it hard for the elderly to afford medical equipment.

Legislative Bill 852 was introduced by Sen. Mike Jacobson of North Platte, and it had bipartisan support in the Nebraska Legislature.

Jacobson said it’s supposed to ensure that seniors and insurance companies aren’t being overcharged for medical equipment.

But White said it’s actually hurting people more than it’s helping.

“They’re dumbfounded,” he said. “A lot of people are putting off getting medical equipment. A lot of people can’t get their equipment fixed.”

The law went into effect in July, and it changes the way insurance covers medical equipment.

Medicare will only cover 80% of the cheapest piece of equipment available.

Many seniors buy supplemental plans to cover the other 20%.

But often, White said customers need to buy more expensive equipment to fit their needs.

And under this new law, those supplemental plans won’t pick up the whole tab for those more costly items.

For example, Nebraska Scooter Mart’s cheapest rollator walker is $100.

Medicare covers around $80, and the supplemental plan pays for the rest.

But if you need a rollator with a larger seat that costs $200, Medicare will still only pay $80.

In the past, this is when certain supplemental plans would pay their 20% and it would also cover the excess $100.

But under the new law, supplemental insurance will only pay 15% of the excess.

The customer would have to pay the remaining $85 out of pocket.

For more expensive equipment like scooters or lift chairs, this can mean seniors have to shell out thousands.

White said either the seniors pay the difference or medical equipment businesses do.

“Well, I can’t sell a $2,000 chair and accept $340 from Medicare and a supplemental and stay in business for very long,” he said.

In a statement on Monday, Jacobson said, “LB 852 was passed to prevent a very small number of unscrupulous durable medical equipment providers from taking advantage of a loophole in our law.”

He said some providers were overcharging seniors and insurance companies by tens of thousands of dollars.

But White estimates that about 150,000 seniors are now bearing unintended consequences under this law.

“I’m having a hard time understanding why the senators passed this,” he said. “What benefit it is to our senior citizens in Nebraska? Because the only benefit I see people getting out of this are the billion-dollar insurance companies that no longer have to pay these claims and are still able to collect their premiums at the same rate.”

White and his brother have launched an effort to repeal the bill.

Jacobson said there are many Nebraska suppliers who have no problem with his bill, and he suggests that seniors “shop around” if they are looking to buy a scooter or wheelchair.