|
||||||||
Delays Could Hit Low-Income Beneficiaries With Part D Late Enrollment Penalty Alexandria, VA (May 2nd, 2006) - A last-minute rush to enroll in Medicare Part D drug plans could bog down an already complicated process, warns a national non-partisan seniors issue advocacy organization. "Delays could hit even low-income beneficiaries with late enrollment penalties and higher costs," says Ralph McCutchen, Chairman of TREA Senior Citizens League (TSCL). "Seniors who have not signed up for Part D prescription drug coverage should start now," he urges. Many beneficiaries continue to have doubts about whether the new drug plans will help. In addition, according to the results from TSCL's "2006 Senior Survey" performed in January, of those saying they did not plan to enroll, two out of three said the reason was "the program is so confusing, I don't know what to do." Harold G., a Pennsylvania senior, was one of the doubtful until a recent hospitalization left him with new prescription bills running $300 a month. Harold worried that his income is too low to afford all the costs of enrolling in a Medicare drug plan, so a friend helped him apply for the government's "extra help" that pays much of the costs of prescription drug plans. But with the deadline for enrollment in the plans just a few weeks away, Harold is still waiting to hear from the Social Security Administration about whether he's eligible, and a Social Security customer service agent estimated that it may take as much as a month for Harold to receive a determination. "Seniors who are in the same fix should not wait," warns McCutchen, "go ahead and enroll in a drug plan now. If he waits, Harold could miss the May 15th deadline for Initial Enrollment," McCutchen points out, "and if that happens, he would have to pay a penalty for late enrollment. In addition, if he misses the Initial Enrollment deadline, and if Social Security determines he's not eligible for 'extra help,' then his next opportunity for coverage would not start until January 1, 2007," McCutchen adds. "There are drug plans that can save him, and others like Harold, a substantial amount of money," notes McCutchen. Peter Ashkenaz a spokesman for the Centers for Medicare and Medicaid (CMS), says "beneficiaries can apply for the extra help at any time." He says that "if beneficiaries are enrolled in a plan and later found eligible for 'extra help' CMS will notify the plans and Medicare will begin to pay their costs."[1] The government's "extra help" covers most, or all, of prescription drug plan premiums, and deductibles. Those eligible pay only a small co-payment of $2 to $5 for their prescription. Unlike the standard Medicare drug package, "extra help" provides coverage for the "doughnut hole," the gap in coverage that requires most Part D recipients to spend $2,850 of their own money before the drug plan picks up the tab for 95% of rest of their medication costs.[2] Beneficiaries with low incomes must apply for the assistance through Social Security, but they should enroll in a Medicare drug plan. They should contact Medicare at 1-800-MEDICARE (633-4227). "If seniors need one-on-one help, TSCL recommends that they contact their local Area Agency on Aging and ask for an appointment with a Medicare benefits counselor," McCutchen says. "This can make the process much easier, but call now," he adds. TSCL is a national group of politically active seniors concerned about the protection of their earned Social Security, Medicare, and other retirement benefits. TSCL members participate in a number of grassroots lobbying and public education campaigns designed to ensure governmental bodies, including the Social Security Administration and the Centers for Medicare and Medicaid Services, live up to their commitments. For more free information on our organization, please contact TREA Senior Citizens League, Department S610, 909 N. Washington St., Suite 300, Alexandria, VA 22314, or visit our website at: www.tscl.org.
[1] Peter Ashkenaz, CMS, April 14, 2006.
Distributed by The Senior Exchange, Inc. | ||||||||
|
|
||||||||
