LevonP
11-24-2008, 08:58 AM
Under Medicare Part D, elderly and disabled Medicare benficiaries can enroll in a private drug plan that is largely subsidized by the federal government. Before the benefit began in 2006, that drug coverage was available only though private supplemental plans.
Medicare Part D contains a gap in coverage often described as "the doughnut hole." Patients in the coverage gap have to pay full cost out of pocket for their drugs,
Under 2008 Medicare rules, once the cost of a patient's prescriptions reaches $2,510, including the amount the patient pays and the amount his or her insurer pays, the patient is in the coverage gap and must cover the next $3,850 in spending on his or her own. After that point, Medicare coverage resumes.
In 2009, the coverage gap begins at $2,700 in spending. The gap ends after the member has spent $4,350.
Health insurers that do significant amounts of Medicare Part D business include Cigna Corp., WellPoint Inc., Universal American Corp., WellCare Health Plans Inc. and Health Net Inc. Insurers compete for Medicare business in a bidding system, with those who offer prices below a government standard being chosen.
Humana Inc. will no longer participate in Part D coverage after Jan. 1, 2009.
Medicare Part D contains a gap in coverage often described as "the doughnut hole." Patients in the coverage gap have to pay full cost out of pocket for their drugs,
Under 2008 Medicare rules, once the cost of a patient's prescriptions reaches $2,510, including the amount the patient pays and the amount his or her insurer pays, the patient is in the coverage gap and must cover the next $3,850 in spending on his or her own. After that point, Medicare coverage resumes.
In 2009, the coverage gap begins at $2,700 in spending. The gap ends after the member has spent $4,350.
Health insurers that do significant amounts of Medicare Part D business include Cigna Corp., WellPoint Inc., Universal American Corp., WellCare Health Plans Inc. and Health Net Inc. Insurers compete for Medicare business in a bidding system, with those who offer prices below a government standard being chosen.
Humana Inc. will no longer participate in Part D coverage after Jan. 1, 2009.