RRB to seek new Medicare provider

United Health Care has pulled out of a deal with the U.S. Railroad Retirement Board and will no longer process Medicare Part B claims.

The deal was negotiated privately between UHC and the RRB, and is not part of a collective bargaining agreement negotiated by Rail Labor.

The Retirement Board must now find a new provider to process these claims. The Labor Member's office, headed by V.M. "Butch" Speakman, expressed its preference for administration on the national level, as is currently the case, instead of a state-by-state basis.

BLE leaders want to stress that retirees will not lose any coverage, and that their Medicare costs won't increase (the rates are set by the Federal government). The only concern is that the Retirement Board must now find a new provider to administer the Medicare Part B claims. If the new provider handles these claims on a state-by-state basis, then there could be a drop in the quality of service from state-to-state.

More details will come as soon as they are made available.

Railroad Medicare Customer Q&As (From United Health Care)

Q1: Who will be the new contractor and when will they take over?

A1: This has not yet been determined. The Railroad Retirement Board will select the new contractor and the date the transaction will occur. It is expected that these decisions will be made within the next few months. Railroad beneficiaries and providers will be notified when these decisions are made.

Q2: What will happen to my Medicare benefits?

A2: Your Medicare benefits will not be affected. Your claims will be processed and paid by the new contractor according to the same coverage and reimbursement rules that United Health Care has been following.

Q3: Will the new contractor have my Medicare records?

A3: Yes. United Health Care will transfer all your Medicare beneficiary and provider files to the new company at the time of transaction.

Q4: Will I need to do anything special because of the change in contractors?

A4: No. United Health Care will be working closely with the Railroad Retirement Board and the new contractor to assure the transition goes smoothly and with no impact on Medicare beneficiaries or providers.

Q5: What if I have more questions concerning this change?

A5: Your questions should be directed to United Health Care's customer service area. They will be able to research your specific issues and provide you a response.

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