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Friday Alert August 24, 2007
Alliance for Retired Americans
888 16th Street, N.W. - Washington DC, 20006 - (202)
974-8222 - www.retiredamericans.or
Report Card Shows Seniors Pay More Under
Part D Than Under Other Drug Plans
Older
Americans in Medicare's Part D prescription drug program are
more likely to pay at least $300 a month for medicines than
those on other plans, a study published Tuesday by the journal
Health Affairs has found. Experts consider the
poll of more than 16,000 seniors, performed by the Kaiser Family
Foundation, the Commonwealth Fund, and the Tufts-New England
Medical Center, the closest thing yet to a "report card" on Part
D. The study found that eight percent of seniors in the
government's Medicare plans spent $300 or more out-of-pocket for
drugs, compared with 5 percent for both those covered by the
Veterans Affairs Department, which negotiates prices for drugs
it covers, and those covered by workplace insurance.
Medicare recipients were also more likely to delay or forgo
filling prescriptions because of the expense, with one in five
enrollees saying they had put off or even skipped getting some
medications because of Part D's high costs. Part of the
reason so many beneficiaries are having difficulty paying for
their medications is that many low-income seniors apparently do
not know that they can get additional government subsidies to
lower their costs, the survey indicated. Congressional
Democrats, who have proposed expanding the number of seniors
eligible for such subsidies by cutting overpayments to private
Medicare Advantage plans, seized on the findings as evidence
that the benefit is not working well for those who need it most:
seniors who have several chronic illnesses and must take a
number of medications. “What we have in this report
is incontrovertible evidence that prohibiting the government
from negotiating lower drug prices has hurt seniors,” said
George J. Kourpias, President of the
Alliance.
Insurance Companies Targeting Early
Retirees
According to a recent report by
The Wall Street Journal, health insurance companies are
targeting those who are least likely to be covered by their
employers, including early retirees who are too young to qualify
for Medicare. Retirees aged 50-64 are the second-fastest
growing group of uninsured Americans, as increasing numbers of
companies cut retirement benefits and leave them stuck in a gap
after stopping work and before Medicare eligibility. While
some companies have already begun marketing their individual
medical policies to older Americans, others plan to release
specially designed packages for retirees in the next few
months. However, some are critical of the new plans,
mainly available in states where laws allow insurers greater
ability to choose only the healthiest customers.
Nationally, an average 30% of 60- to 64-year-olds who apply for
a new health insurance policy is rejected. To make
premiums more affordable, many early retirees are choosing plans
with deductibles as high as $5,000 or $10,000 and fewer
benefits, in exchange for premiums as low as $84 a month.
“The number of early retirees who are uninsured is
unacceptable,” said Edward Coyle,
Executive Director of the Alliance. “America has an
obligation to make sure every retiree has health insurance and
proper medical care.”
Medicare to Stop Paying for Hospital
Errors
With a new policy designed to save
both lives and money, Medicare will stop reimbursing hospitals
for the treatment of preventable infections and errors acquired
or taking place on hospital grounds. According to a recent
article in The New York Times, “conditions that
could reasonably have been prevented” and will not be paid
for include bedsores, injuries from falls within hospitals, and
catheter infections, as well as mistakes such as providing
incompatible blood to a patient or leaving an object inside a
patient during surgery. While the new rule is expected to
save Medicare at least $20 million each year, it is also seen as
a means to improve patient care and safety. Doctors may
adhere more strictly to hospital procedures and guidelines, and
more tests may be administered to patients as they are admitted
in an effort to determine exactly when these conditions
develop. Hospitals are also forbidden by the law to charge
patients for any associated costs Medicare will not pay.
“This is a great demonstration of the power and influence
of traditional Medicare on patient care when the program is used
as originally intended,” said Ruben
Burks, Secretary-Treasurer of the Alliance.
State Alliances to Gain Even More
Through Alliance Travel Benefit
Don’t
forget to take advantage of the NEWEST ALLIANCE BENEFIT!
Book your travel with our new Alliance for Retired Americans
travel web site and support your State Alliance.
Comparably low priced as the best web travel sites, every time
you buy a plane ticket and book a hotel or cruise, the National
Alliance will now give ALL of our royalties from your trip to
your State Alliance. Access this great benefit from our
web site at www.retiredamericans.org
or http://www.ytbtravel.com/retiredusa.
Just Ten Days Until Legislative
Conference!
In just over a week - September
4-7, 2007 - the Alliance will hold its National Legislative
Conference in Washington, D.C. Please note that exhibits
are open only on the first day of registration, Tuesday,
September 4th, from 10:00 a.m. - 1:30 p.m. Come early for
a drawing of a $250 prize, free T-Shirts, give-a-ways and
more! The actual conference program begins on the 4th at
1:30 p.m., with a theme this year of “Building for
America’s Future.” Sen. Hillary Rodham
Clinton (D-NY) and Rep. Dennis
Kucinich (D-OH), candidates for the Democratic
nomination for U.S. President in 2008, will speak.
Elizabeth Edwards, wife of presidential
candidate and former Sen. John Edwards (D-NC),
is also confirmed, and we are working with other presidential
candidates on their availability. The President’s
Award will be presented to Elmer Blankenship,
President of the Indiana Alliance, for his lifetime of public
service on behalf of older Americans. The Leadership Award
will be presented to Sen. Debbie A. Stabenow
(D-MI) in recognition of her years of outstanding leadership in
the U.S. Congress on behalf of older Americans. To obtain
copies of the official registration form, either call
1-888-373-6497, email Joni Jones at jjones@retiredamericans.org
or visit our website at www.retiredamericans.org.
The conference will be held at the Hilton Washington and
Towers. Hotel reservations must be made by calling the
Hilton and Towers directly at 1-888-324-4586. Be sure to
ask for the Alliance for Retired Americans National Legislative
Conference attendee rate.
Become part of a progressive grassroots movement!
Join the Alliance
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Alliance for Retired Americans 815 16th
St, NW Washington, DC 20006 www.retiredamericans.org
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