Discount drug cards
give seniors a choice
Guest opinion by Sen. MIKE
CRAPO
A Republican, Mike
Crapo represents Idaho in the U.S. Senate.
Sometimes all people hear about is
what the government is doing to make life more complicated. I’m the
first one to admit that many times good intentions become obscured by
politics and competing interests.
However, there are times when
noble intentions actually translate into effective laws that help people
live fuller and more productive lives. One example is the Medicare
Prescription Drug Discount Card and Transitional Assistance Program
enacted under the Medicare Modernization Act of 2003. Beneficiaries and
their families may find the following information helpful.
By the end of April, seniors and
those with disabilities will be able to obtain discount drug cards that
will provide immediate savings until the new prescription drug benefit
is implemented in 2006. These cards will give Medicare beneficiaries
discounts of 10 to 25 percent on prescription drugs. Medicare will also
waive the enrollment fee and provide a $600 credit toward the purchase
of prescription drugs in 2004 and up to the same amount in 2005, for
individuals making less than $12,569 and married couples making less
than $16,862 who lack drug coverage. Additionally, several drug
manufacturers plan to provide low-income beneficiaries medication at
nominal cost once the credit is exhausted.
This is great news for those who
face the high cost of prescription drugs, especially for chronic
illnesses. The Department of Health and Human Services (HHS) is working
to make the application process as straightforward and accessible as
possible to all eligible Americans.
- Applicants can use the Internet
and apply at
www.medicare.gov, or call toll free 1-800-MEDICARE;
- HHS will issue a free "Guide to
Choosing a Medicare-Approved Drug Discount Card" explaining
eligibility and enrollment information and fees;
- Starting April 29, the Web site
and phone number listed above will also provide comparison information
about drug prices and other helpful hints in order to make the process
of selecting the appropriate card easier;
- For approved applications,
benefits will begin as early as the first day of the next month;
- The Social Security
Administration will mail a separate letter to beneficiaries with lower
incomes who may be eligible for the $600 credit.
Rural beneficiaries will be happy
to know that approved discount drug cards must offer discounts at retail
pharmacies located near most enrollees’ homes. Discount programs are
also encouraged to utilize mail-order services.
Syringes and medical supplies for
insulin injections are eligible to be discounted, and some cards may
offer discounts on over-the-counter drugs. Card sponsors must comply
with HIPAA privacy regulations, and Medicare will operate a grievance
and complaint tracking system to better protect consumers.
Medicare is giving a special
endorsement to selected card sponsors to provide transitional assistance
to residents of long-term care facilities and skilled nursing facilities
as well as American Indians and Alaska Natives who use Indian Health
Service, Indian Tribe, and Tribal Organization pharmacies.
Initial estimates placed the
savings to beneficiaries at 10 to 15 percent off their overall drug
expenditures, and up to 25 percent or more off the retail price of some
individual drugs. A recently released Harvard study estimates average
savings of 14 percent for brand-name drugs and 41 percent for generic
drugs.
A word to families of seniors: The
most efficient way to enroll in this program and to research card cost
and benefit comparisons is on the Internet. Demographically, many
beneficiaries either do not have access to the Internet, or are
uncomfortable or unfamiliar with computers. With this in mind, family
members may want to familiarize themselves with program information in
order to help their relative (or friend) obtain the card that best suits
their individual needs.
This program will have a
significant impact on seniors and others who qualify for this benefit,
especially those who live on low and fixed incomes. This program will
meet their prescription drug needs, and contribute toward the larger
goal of a healthier society.