Send this article to a friend. Printer friendly version.

Seniors Await Medicare Refunds

Thousands of seniors due a refund from Medicare recently had to wait 15 months or longer.  But even after the long wait, no one seemed to be able to say when the money might arrive. 

Seniors in Florida, Texas and Nevada were due refunds if they belonged to one of the few Medicare Advantage HMOs that paid all or part of their members' 2006 Medicare Part B premiums which were $88 per month in 2006.  Even though such managed-care plans were covering all or part of their enrollee's Part B premiums, the full amount was erroneously deducted from seniors' Social Security checks.  In some cases, the deductions continued for months.  The HMOs sent the money to Medicare to be distributed to the recipients, but by mid April not all beneficiaries had received their refunds which add up to as much as $1062 per person for the year.

Medicare officials said computer glitches and incorrect data were preventing the refunds from being credited to recipient's checks.  That was little comfort to a South Florida widow Janet Skurnick, 77, who waited for a $1050 refund.  "It's disgusting.  I need that money," Skurnick said.  "If I owed them, I'd be paying heavy interest.  They're not going to pay me interest."

About 600,000 beneficiaries nationwide were owed refunds at the peak of the problems last summer.  Medicare hopes to have the refunds paid this summer, but was not able to offer a definite time frame.  Medicare even told Representative Ginny Brown-Waite, (FL) that it would take at least two months to repay most of the 115 cases her office was assisting with.

The stalled refunds recently raised their ire of four other Florida Representatives, Robert Wexler, Alcee Hastings, Ron Klein and Debbie Wasserman Schultz.  They sent a letter to the Centers for Medicare and Medicaid Services (CMS) demanding a full explanation of why the money has been taken out of the checks of their constituents, and how the agency intended to address the problem, and when it would be cleared up.  Congressional staffers said that most of the individuals affected have low incomes.

CMS and the Social Security Administration have faced questions from lawmakers several times last year about Medicare premiums that were automatically, but erroneously, deducted from some beneficiaries monthly checks.  CMS also accidentally sent refunds to some seniors who were not supposed to get them, and then quickly sought to reclaim the money.

TSCL urges seniors who are waiting for a refund, or who may have other unresolved problems regarding Medicare benefits, to contact your Member of the House or one of your Senators.  When Congressional offices intervene, cases get cleared up more quickly.  Members of Congress have constituent services staffers to help you and in the process our lawmakers become much more sensitive to the problems of their senior constituents.

Source:  "Seniors Have Waited A Year, And Still No Medicare Refunds," Bob LaMendola, South Florida Sun-Sentinel, April 12, 2007.  "Lawmakers Upset As Computer Glitch Stalls Medicare Payments," Jeffrey Young, The Hill, April 26, 2007.  

July 2007


Legal Statement  |  Contact Us
Copyright © 2007 The Senior Citizens League  |  703-548-5568  |  909 N. Washington St. #300, Alexandria, VA 22314
All Rights Reserved