Obama Wants to Close Medicare 'Doughnut Hole'
President Obama on Tuesday stated that he wants to close the so-called "doughnut hole" in the Medicare prescription drug coverage plan currently making it difficult -- if not impossible -- for millions of Medicare recipients to afford their needed medications.
The "doughnut hole" refers to a costly gap in the Medicare Part D prescription drug coverage plan. The plan currently covers up to $2,700 per year in prescription drug payments, then stops. Coverage does not begin again until the recipient’s drug costs exceed $6,100 annually, thus leaving the recipient responsible for paying all drug costs between $2,700 and $6,100. A gap, said Obama, that is “placing a crushing burden on many older Americans who live on fixed incomes and can't afford thousands of dollars in out-of-pocket expenses.”
The gap in coverage drives many seniors to resort to the potentially life-threatening option of taking only half of their medication thus reducing the drugs’ effectiveness.
Obama recommended Congress close the Medicare "doughnut hole" by providing Medicare beneficiaries whose spending falls within the gap a discount of at least 50 percent on prescription drugs from the negotiated price paid by their plan. “It's a reform that will make prescription drugs more affordable for millions of seniors, and restore a measure of fairness to Medicare Part D,” said the President.
Obama stated that he wanted Congress to include the Medicare prescription drug change in the health care system reform bill to be debated later this year.
Also See:
Medicare Basics
Obama’s National Health Insurance Plan
Is Nationalized Health Care Right for the U.S.?
Comments
The prescription drug program in place now charges the patient almost double what he can purchase a generic drug for in some cases at a local pharmacy that offers generics for $10 or $12 for three months supply. Why not just make the companies charge the same for a generic as the local druggist. I am sure it costs them less than the $10 or $12.
Cutting medicare coverage is terrible. It doesn’t pay well now – eliminating coverages for the elderly only means you are better off being on medicade (which pays very well). Not covering the illegals would cut down on the cost drastically on both areas. Locally we have clinics that are set up for those who have no insurance and meet the income guidelines to receive all kinds of medical help (dental, health, eyes, etc.)
AARP and Sen. Baukus are touting a mythic accomplishment by having the pharmas pay half of the Rx cost for seniors in the donut hole. It does nothing from having the pharmas set their own inflated prices for drugs, no negotiated prices, ever increasing deductibles and copays, higher premiums, Government penalties for trying to stop out, and a 10-year lock on the gold mine conceived by the pharmas and approved by Bush and a foul-thinking, money-hungry, Congress.
Unless the donut hole is eliminated, such ploys as this constitute a cruel joke by and for the benefit of the drug cartels. Baukus and AARP need to step aside and get some real change up for consideration. This plan is bogus, political, pharma dominated and appealing to dummies in Congress! We expected real change from Obama. THIS IS NOT IT!
We should give serious consideration to eliminating all American drug vendors unable to negotiate competitive prices in the global market. Also, get the insurance companies out of the drug business. Their high cost, low service and anti-public policy does little to reduce their added costs just to make billions of profits and pay exorbitant salaries in their effort to stiffle low cost drugs for public consumption.
It’s time for real change.
I am in the doughnut hole NOW. MY DRUG BILL WAS 827.25 LAST MONTH . WHAT am I to do? HELP!!!
July 2009
Who’s gonna pay for this? The drug companies? Right. Your local pharmacy? Perhaps. Go to the large chains & buy what you can for $4. They lose money on those prescriptions, but they write it off. It costs a pharmacy a lot more than that to fill a prescription. Another Obama blue screen.
Most health plans have a smaller deductable on the first dollar spent. Part D attempted to help more seniors by covering dollar 1 and moving the deductable until after a reasonable annual amount that would cover normal expenses for most seniors. One way to re-work this is spread the expense out to more seniors and have everyone pays a smaller deductable from dollar 1, or have the tax payers cover it.
I hit the “hole” in June. My statement from my plan showed me that before that the script cost $349.78. My share of that was $39.00. When i went to pickup the prescription in June, the cost to me was $880. How come when it’s time for me to pay, the cost goes up $500.00. Even with the 50% I wouldn’t be able to afford my meds. What’s the answer?!?!?!?!?!