John Edwards, Democrat

Social Security | Health Care Affordability | Medicare

Social Security

	Supports	Opposes
Create individual accounts out of Social Security
AARP
John Edwards

Question

Do you support or oppose replacing part of Social Security with individual accounts?

AARP Response

AARP strongly opposes replacing ANY part of Social Security with individual accounts. Social Security is not in crisis. Without any changes in current law, Social Security can pay 100% of benefits until 2041. But individual accounts funded with Social Security dollars mean Social Security would face financial problems sooner.

"Personal control" sounds appealing. But substituting private accounts, even for part of Social Security, drains money from Social Security, which means less money to pay guaranteed benefits.

Creating these private accounts requires trading today's inflation-protected lifetime guaranteed benefit for an account subject to market risk and not guaranteed to last a lifetime.

Inflation, market turns, or sudden loss of employment can also mean that your private account may not have enough money to provide an adequate benefit. AARP supports options that help Americans save for their retirement through individual accounts on top of Social Security; but opposes replacing any part of Social Security's guaranteed benefit.

Candidate Response: John Edwards

I oppose diverting payroll taxes into individual accounts. Diverting resources would only increase the shortfall in the Social Security trust fund, threatening the programs' long-term stability. Privatization would also erode the Social Security safety net and undermine the program's social compact.

However, I do support efforts to increase retirement savings outside of Social Security. I will match $1 in private savings with up to a $1 refundable tax credit, up to a limit of $1,000 per couple, for working Americans. A family that saves the maximum under this plan starting at age 25 will have a nest egg of $200,000.

Health Care Affordability

	Supports	Opposes
Provide employer incentives
AARP
John Edwards
Expand public programs.
AARP
John Edwards

Question

In the face of escalating costs, how would you reform the health care system to make it available, affordable and accessible for every American?

AARP Response

AARP supports measures to achieve access to affordable health care coverage for all individuals, an approach that would address the needs of those without public or private insurance or those at risk of losing coverage.

In the absence of universal coverage, AARP supports incremental reforms specifically targeted to particular populations that significantly improve coverage options for those without public or private insurance or those at risk of losing coverage.

These reforms include:

• Opening existing public programs (e.g. Medicaid) to new categories of people who are uninsured;
• Inducing employers to offer coverage;
• Subsidizing the cost of private coverage for those who are uninsured, underinsured, or at risk of losing coverage;
• Expanding the continuation of group health care coverage at group rates to persons whose access is ending (e.g. expanding COBRA coverage).

Candidate Response: John Edwards

My health plan will:

• Cover Every Child: Make it affordable and easy for parents to get quality health insurance for children; parents must insure children.
• Help the Individuals and Businesses Struggling Most: Help two-thirds of uninsured adults, including those 55 to 64 and in small businesses.
• Cut Costs and Improve Quality for All: Steps including reducing drug costs, empowering consumers to make better choices, adding 100,000 nurses.
• End Health Disparities: Steps including the doubling funds to NIH center for minority health.
• Strengthen the Safety Net: Double federal health center funding, strengthen public hospitals, secure Medicaid.

Medicare

	Supports	Opposes
Close coverage gap for all Medicare beneficiaries
AARP
John Edwards
Do more to bring down soaring drug prices
AARP
John Edwards

Question

How would you propose to reduce drug costs and close the gap in coverage for all Medicare beneficiaries?

AARP Response

Congress passed legislation adding a prescription drug benefit to Medicare in 2003. But this benefit does not cover the drug costs between $2,250 and $5,100 for most Medicare beneficiaries. AARP believes that the prescription drug benefit in Medicare must close this coverage gap for all beneficiaries and must do more to bring down soaring drug prices.

Candidate Response: John Edwards

I agree with the goal of closing the coverage gap, and I would take strong steps to control drug costs. To raise money to close the coverage gap, I would shut down the bill's special interest giveaways —like the $12 billion slush fund for HMOs. And I will add aggressive steps to control costs. I will make sure Medicare can use its purchasing power to lower costs, consumers can reimport cheaper drugs when safe, and misleading drug Advertisements stop.