Medicare Drug Plans Exceeding Expectations in 2007
Private Health Insurance Plans and Medicare
Data on the prescription drug plan choices that will be available to Medicare beneficiaries in 2007 released today by the Centers for Medicare & Medicaid Services (CMS) indicate once again that private plans are exceeding expectations by offering low premiums and expanding benefits. CMS disclosed that 83 percent of Part D beneficiaries will have access to plans with lower premiums, while even more plans will be available that provide coverage for brand-name and generic drugs in the "coverage gap." The result is that most seniors will pay lower premiums and on average should expect to save $1,200 in 2007 (up from $1,100 in 2006) on their prescription drugs.
Karen Ignagni, President and CEO of America's Health Insurance Plans (AHIP), made the following comments regarding the CMS data on Medicare Part D and Medicare Advantage coverage for 2007:
- "Medicare drug plans are exceeding expectations heading into the second year of the Medicare prescription drug benefit. Beneficiaries and taxpayers will continue to benefit from robust competition and health insurance plans' innovative tools and techniques, with most beneficiaries having the option of paying even less for access to prescription drug plans and more options for enhanced coverage.
- "Lower premiums are translating into more savings for taxpayers than government actuaries had anticipated. The program will now cost 25 percent less than earlier projections, providing tangible evidence that the Medicare prescription drug benefit is more affordable than ever for both seniors and taxpayers."
America's Health Insurance Plans - Providing Health Benefits to