Congress is making efforts to determine why approximately 3 million low-income eligible beneficiaries have not enrolled in "Extra Help" that pays most of the costs of a Part D plan.  At hearings in both the Senate and the House of Representatives, we frequently heard that there is little outreach to those with little income, the application process is too complex, and asset testing either intimidates or disqualifies many individuals.  TSCL submitted a statement for the record with solutions to increasing enrollment numbers.  TSCL suggests:

• Make information about the programs more available.  Currently, many seniors don't even know about them.  TSCL supports funding for trained Medicare benefits counselors to help seniors apply for the financial assistance and enroll in an appropriate Part D plan.
• Eliminate the asset test.  Basing an individual's eligibility for low-income Medicare programs like "Extra Help" on income should be sufficient.  At the very least, asset limits should be increased so more low-income seniors would qualify.
• Make eligibility requirements and enrollment requirements for Part B and Part D low-income programs uniform.  Currently, eligibility requirements for Part B and Part D programs are different, and beneficiaries must apply at different agencies for each.  Beneficiaries should be able to apply and be automatically found eligible for both at the same time.
• Use IRS data to screen for low-income seniors.  The government already screens for Medicare beneficiaries whose incomes are high enough to subject them to paying higher Means Tested Part B premiums.  Low-income seniors should be screened at the same time for low-income Medicare programs.

TSCL supports several bills that offer solutions, including "The Prescription Coverage Now Act," H.R. 1536, introduced by Representative Lloyd Doggett (TX).  The bill would increase asset test limits from $11,710 to $27,500 for individuals and from $23,410 to $55,000 for couples; authorizes the Social Security Administration access to the limited use of IRS data to locate potential low-income beneficiaries; and calls for coordination between low income programs in Part B and Part D.  Be sure to check our website, www.tscl.org, for updates on this and all other legislation important to TSCL members.

August 2007