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Health Law Saves $120 Billion in Early Years, Medicare Says

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Medicare, the U.S. health insurance program for the elderly and disabled, said the health-care law will save the program $120 billion in the next five years through lower payments to hospitals and insurers.

About $50 billion of the savings come from reduced payments to insurers including Humana Inc., WellPoint Inc. and UnitedHealth Group Inc. The companies lead the market in enrollees in Medicare Advantage, the privately run, government-subsidized portion of the U.S. health program.