A senior pays	And the plan covers	To get prescription drugs totaling
Deductible	$250	$0	$250
Cost-Sharing for Next $2,000	$500 (25 percent)	$1500 (75 percent)	$2000
Gap in Coverage: Seniors Pay 100% of next $2,850 in drug costs	$2,850	$0	$2,850
Total Spending, Excluding Premium	$3,600	$1,500	$5,100
Plus Premium	$420	$0	$0
Total Spending, Including Premium	$4,020	$1,500	$5,100

Under this prescription drug plan, a senior would pay over $1,100 of the first $2,000 of coverage. The same senior would pay about $4,000 of the first $5,100 of coverage, approximately 80 percent of the total cost. These charts demonstrate this in more detail.

Annual Premium	$420 (estimated at $35 per month)
Deductible	$250
Coinsurance	Beneficiary pays 25 percent from $250 to $2250 in drug costs
Donut Hole	Beneficiary pays 100 percent from $2250 to $5100 in drug costs
Second Tier Coverage	Begins when beneficiary out-of-pocket spending reaches $3600, which is equivalent to total drug coverage (beneficiary and plan spending) of $5100. At that point, beneficiary pays 5 percent.

Statement from Congressman Costello in the Congressional Record regarding the Medicare Conference Report.

Press Release from Congressman Costello regarding his vote against Medicare privatization.

Click here to see how this legislation is a bad deal for seniors and favors big drug companies.

Click here to see how the Conference report fails to meet AARP priorities.