Make Medicare Information Accessible

Make Medicare Information Accessible

July 26, 2004 -

Currently, seniors are being bombarded with information regarding enrollment in the new Medicare Prescription Drug Discount Card program. This program is the result of legislation passed by Congress last year to provide a prescription drug benefit for Medicare-eligible seniors.

I voted against that legislation because I still do not believe it was the best way to provide prescription drug coverage. I had several concerns with the bill.

First, it will not allow the Secretary of Health and Human Services to negotiate with drug companies to keep the cost of prescription drugs down. The Veterans Administration has this authority and as a result, the VA has been able to provide medicine to veterans at a much lower cost to both the veterans and the American taxpayers.

Secondly, it will not provide a standard benefit. Because it is based on private sector plans, seniors in California may end up paying less than seniors in Texas. Seniors in Michigan might have a plan that covers all the different medicines they take, while seniors in Florida may find that only a few of the drugs they need are covered.

Finally, there will be a huge gap in coverage where seniors will have to keep paying premiums without getting any benefit from the plan until the catastrophic coverage level is reached.

Despite my opposition, the Medicare plan passed and my goal today is to make sure that seniors have all the information they need to make the best decision for their unique situation.

The discount drug card program is just the first phase of the new Medicare program and will only be in effect from June 2004 to December 2005. Under this new discount card plan, seniors will only be allowed to sign up for one Medicare-approved card a year. This will prohibit seniors from maximizing savings through multiple cards or from changing cards during the year to follow the lowest prices for drugs.

Seniors need to be aware that the companies offering these cards can change the drugs they cover and the discounts they have promised weekly. This means that seniors who sign up for a card because it discounts the medication their doctor has prescribed will be stuck if the company suddenly changes the discount or discontinues coverage of the drug. In some ways, these cards reduce the options seniors have to save on their prescriptions, rather than increasing them.

Seniors will only be able to change their card choice once between Mid-November and December 2004. After that, they will be locked into their choice. Seniors enrolled in a Medicare HMO that offers its own discount card may only be allowed to purchase that card.

Seniors who already have a discount card offered by a supermarket or local pharmacy may find their savings not much different than with a Medicare approved card. They may keep these non-Medicare-approved cards, but only one card can be used per prescription.

Seniors and people with disabilities whose incomes are below $12,569 a year for individuals or $16,862 for couples, and who are not enrolled in Medicaid, a retiree drug plan or Tricare will be eligible for a $600 credit toward the purchase of prescription drugs in 2004 and again in 2005.

Low-income seniors may be required to fill out a separate form to apply for the credit and will be required to attest to their income by signing the form. The government will verify income through tax and other information.

There are a wide variety of plans being offered. Each plan has different benefits, different eligibility requirements, different drug coverage and different prices. I encourage every senior not to rush into any decision.

Cards may offer good deals on some medications, but no value for others. Not all pharmacies will participate with all cards either, so check with your local pharmacy. Talk to your doctor or health care provider to make sure that you know exactly what medication you are currently taking or may need in the near future. Some of the plans provide discounts for the use of generic drugs. Check with your doctor to make sure that a generic drug will work effectively for you.

Ultimately, some seniors may find that none of the Medicare plans are right for them. If they are not, there is no need to enroll. Seniors can keep using any non-Medicare discount cards they may already have. The most important thing is to get all the information possible. For more information call 1-800-MEDICARE or go to www.medicare.gov.