One of the most important issues facing our nation is the need
to improve Medicare and maintain it for future beneficiaries. For
this reason, as you know, I supported recent Medicare modernization
legislation
– a voluntary, comprehensive, and affordable solution for
improving and expanding traditional Medicare. The days of seniors
choosing between food and the medicines they need are over – this
program reaches out to over 12 million low-income poverty-level
seniors who need the most assistance.
One of the most important issues facing our nation is the need to improve Medicare and maintain it for future beneficiaries. For this reason, as you know, I supported recent Medicare modernization legislation – a voluntary, comprehensive, and affordable solution for improving and expanding traditional Medicare. The days of seniors choosing between food and the medicines they need are over – this program reaches out to over 12 million low-income poverty-level seniors who need the most assistance.
For years, folks have expressed to me their need for these benefits – and those who need it most can wait no longer. Unfortunately, there’s no quick fix. We’ve laid the groundwork and we are moving in the right direction.
Modern medicine is vastly different than when Medicare was created in 1965. With each medical discovery and modern drug created, Medicare has fallen further behind. Today, taking a pill can prevent a chronic disease from becoming a life-threatening illness and spending $35 for prescriptions each month is the best option for seniors and better policy for Medicare than spending thousands on surgery that can be prevented.
The good news is seniors on Medicare now have the power to start saving on prescription drugs right now and allows those who already have prescription drug coverage to stay with their plan if they like it.
Upon enrolling in the new benefit, seniors receive an initial free physician exam. New coverage will be available for heart disease and diabetes screenings, as well as medical nutrition therapy. New disease management programs will ensure seniors have a plan to manage their illness, and stay healthy and active.
In addition, you may qualify for a $600 credit right-away to help pay for prescription drugs, if your income is no more than $12,569 for a single person, and no more than $16,862 for a married couple. Qualifying for the $600 credit will depend on whether you meet the income limits shown above and whether you already receive outpatient prescription drug coverage from certain other sources.
Many folks have asked how this benefit will make drug costs affordable for California’s seniors. Below, I’ve included some important components of the new Medicare plan:
Creating affordable drugs
• Seniors who choose to enroll in the program will begin to see savings this June – up to 25 percent off the cost of their medications.
• In 2006, seniors who have signed up for the new benefit will pay a monthly premium of about $35.
• After a $250 deductible, Medicare will cover 75 percent of a senior’s drugs costs up to $2,250.
• After a senior’s out-of-pocket drug costs reach $3,600, Medicare will cover 95 percent.
Benefits are completely voluntary
• These benefits are voluntary. If a senior likes the traditional Medicare plan they’re enrolled in now, they can remain there and see no changes in their coverage.
Low-income assistance
• California’s neediest seniors can expect to pay almost nothing for their medicines – at most $2 for generics and $5 for name-brand prescription co-pays.
Encourages employers to offer prescription drug coverage
• Protects and safeguards employer paid coverage.
• Employers will receive a monetary incentive to retain the health coverage they offer to retirees. This is the first time ever that Congress has acted to slow the trend of employers reducing health care benefits.
New plan is widely supported
• Independent senior groups call plan a good step toward better and more affordable health care.
• The AARP, the American Medical Association, the American Hospital Association and more than 300 groups support this new Medicare prescription drug plan.
Get help comparing your options and to find out more about how to enroll:
• Call 1-800-MEDICARE (1-800-633-4227) and ask about “drug savings.” TTY users should call 1- 877-486-2048.
• Visit www.medicare.gov on the web. Select “Prescription Drug and Other Assistance Programs.”
I’m proud to be among my 220 colleagues who voted for this landmark bipartisan legislation and truly believe it will help seniors have happier, healthier lives – getting the health care and prescriptions they need and deserve. You can be assured that as your representative in Congress, I will continue to fight on all fronts for California’s seniors.
If you have additional questions about the Medicare program feel free to contact me or estimate your prescription drugs savings using the Drug Calculator on my web site at: www.house.gov/pombo
Richard Pombo, a Republican, represents California’s 11th Congressional District, which includes Morgan Hill. He is chairman of the Resources Committee and serves on the Agriculture Committee. www.house.gov/pombo
