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Understanding the New

Prescription Drug Plans

Starting November 15th, seniors across the country will face a difficult set of choices: whether to enroll in the new prescription drug benefit under Medicare and, if so, which of the various options to select.  It is an important decision that every senior needs to make.

Unfortunately, many Massachusetts citizens are not aware of the major changes in prescription drug coverage about to take effect.  This summer, the Social Security Administration sent out 400,000 applications for the low-income subsidy to prospective applicants.  Less than half of those contacted replied.  I consider this cause for concern.

In the United States, the cost of prescription drugs is rising at two to three times the rate of inflation.  In the past three years alone, drug costs are up 47%.  The impact is devastating.  Some seniors are skipping doses to cut their costs.  It's an image that prompts thoughts of poverty-stricken, third world countries: senior citizens cutting pills in half to save money.  

In 2003, Congress had a historic opportunity to pass an effective and affordable prescription drug plan that would lower the cost of medication for all seniors.  Instead, the Republicans chose to pass a deeply flawed plan under Medicare that helps seniors pay for prescription medication -- but that is designed to maximize the profits of HMOs and the pharmaceutical industry.  I opposed the Republican plan for a number of reasons, but mostly because the new benefit is too narrow, overly complicated, and ineffective at addressing drug prices.  

My disappointment with the specifics of the Medicare drug law aside, some seniors do stand to benefit.  Starting on November 15, Medicare will begin open enrollment for the new program.  To begin coverage on the first possible day -- January 1, 2006 -- the last day to enroll is December 31, 2005.  However, enrollment will continue without penalty until May 15, 2006.  

Due to the implementation of the Medicare drug benefit, Massachusetts Prescription Advantage program is undergoing a transformation.  Seniors currently enrolled in Prescription Advantage who do not choose a plan before January 1 will be assigned one by the federal government.  That new plan may or may not cover medications that were covered under Prescription Advantage or even be associated with local pharmacies.  That is why it is so essential to make an informed choice.  

Now is the time for Massachusetts seniors to make the decision about whether to join the new plan and -- if so -- which plan may best meet their needs.  When navigating the various new packages under the Medicare program, I encourage seniors to take their time, check the facts, and know their options.     

Every senior deserves to have all available information to pick the program that best suits their needs -- and at the lowest possible cost to them.   

I will continue to fight to improve the prescription drug law to create a real, affordable prescription drug program that will lower drug prices and help all of our seniors.   

Medicare should be granted the authority to negotiate lower drug costs on behalf of seniors -- as the Department of Veterans Affairs currently does for veterans.  Veterans receive significant discounts, in some cases up to 45% of the retail price, because the VA is able to use their bulk purchasing power to negotiate lower prices.  We should do the same for our nation’s seniors.   

We should also legalize re-importation of safe, lower priced, FDA approved drugs from countries like Canada.  Innovative seniors, desperate for an alternative solution, have already organized bus trips across the border to Canada.  Seniors should not be forced to go to Canada to buy affordable drugs.  We must allow re-importation of safe, FDA approved drugs, manufactured in FDA-inspected plants.  

In the meantime, my office will be available to help seniors find good information and make smart choices.  

Our seniors deserve no less.