The Department of Health and Human Services recently announced that premiums for the new Medicare drug benefit would not increase in 2007, with Secretary Michael Leavitt saying: "The Medicare prescription drug benefit ... just keeps getting better."
In fact, the estimate released by HHS is misleading and disguises significant cost increases for Medicare Part D coverage. The average Medicare premiums will increase by over 10% in 2007, with premiums for the lowest-priced plans increasing over 40%.
A letter from Rep. Waxman to HHS Secretary Leavitt explains why the HHS claims are erroneous and requests that HHS immediately revise its estimates of Medicare Part D premiums to reflect the true cost increases senior citizens will face in 2007.
