by Lakshmi Gopal on  March 6, 2012 at 5:40 PM Health Insurance News
 Obama Wants US Military to Pay More Health Insurance Premiums, Leaves Civil Defense Untouched
In the proposed defense budget for 2012, the Obama administration has called for a sharp hike in health insurance premiums for military families and retirees, reports

However, benefits of civilian defense workers who belong to unions, have been left untouched.

The proposal is being perceived as divisive and is causing a major rift within the Pentagon, say US officials.

Several congressional aides suggest that the move is designed to increase enrollment in Obamacare's state-run insurance exchanges.

The differential treatment between civilian and uniformed personnel is causing a backlash within the military that could undermine recruitment and retention.

The proposed increases in health care payments by service members are part of the Pentagon's $487 billion cut in spending. It seeks to save $1.8 billion from the Tricare medical system in the fiscal 2013 budget, and $12.9 billion by 2017.

Source: Medindia

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