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Medicare Waives Late Enrollment Fee for Low-Income Beneficiaries through 2008

WASHINGTON, D.C. – Congresswoman Nancy Boyda (Kansas Second District) today announced that the Center for Medicare and Medicaid Services (CMS) has waived through 2008 the late enrollment penalty for low-income beneficiaries of the Medicare prescription drug program.

The Medicare Prescription Drug Improvement and Modernization Act of 2003 required that Medicare beneficiaries enroll in a prescription drug coverage plan within three months of their 65th birthday or face a late enrollment penalty. Under the new rule, beneficiaries who qualify for the Medicare low-income subsidy – generally, seniors whose incomes fall below 150% of the poverty line – may enroll in a drug plan with no penalty through December 31, 2008.

Congresswoman Boyda said, "Medicare Part D is a very complex program, covering hundreds of prescription drug plans from dozens of companies. Seniors should not be penalized for taking the time to review their options before choosing a plan. Earlier this year I voted to permanently end the late enrollment penalty for low-income beneficiaries, and I look forward to continuing to work on this issue in the months to come."

AARP Kansas State Director Maren Turner said, "AARP applauds the waiver of the late enrollment penalty for those who qualify for the low-income subsidy for Medicare Part D prescription drug coverage. We believe now, as we have since the inception of the prescription drug program, that the penalty for low-income beneficiaries should be waived permanently, and we look forward to continued work with Congresswoman Boyda and CMS on this issue."

Seniors who have questions about enrolling in a Medicare prescription drug plan can receive help through several organizations. The Kansas Department of Aging runs a free counseling service called Senior Health Insurance Counseling of Kansas (SHICK), which can be reached at 1-800-860-5260. Details are available online at http://www.agingkansas.org/shick/shick_info.html.

Seniors may also seek assistance from their regional Area Agency on Aging. Contact information for each region is at http://www.agingkansas.org/aaa/aaaindex.htm.

Finally, Congresswoman Boyda’s Topeka office is always available to help at 785-234-8111.