"Near-poor"
retirees-too "wealthy" to qualify for public assistance but unable
to afford comprehensive private health insurance-are among those
least likely to have prescription drug coverage. But they won't get
much help from the prescription drug proposals pending before
Congress.
A recent analysis from the Commonwealth Fund finds that a retired
couple living on $20,944 a year in 2006 would still spend a
substantial part of their income on prescription drugs under the
House and Senate proposals now being reconciled by a Capitol Hill
committee.
How much is "substantial"? Under the House proposal, that couple
would pay $2,437 or 11.6 percent of their income for drugs. Under
the Senate bill, the couple would spend $3,208 or 15.3 percent of
their income, according to Commonwealth, a New York-based private
foundation that specializes in health and social issues.
The Heritage Foundation reached similar conclusions in a study on
Medicare patients with private drug coverage. It found the Senate
bill would force average Medicare patients to pay about $621 more
than what they would pay under their existing drug coverage,
according to a July 15 research paper by Heritage health-care
expert Lanhee Chen.
So tell us again. Who are the drug bills supposed to help?
For more information or to receive an e-mail version of
"Medicare Maladies," contact [email protected]
or call Heritage Media Services at (202) 675-1761.
("Medicare Maladies" is a regular feature, launched 7/14/03, from
The Heritage Foundation. Sad to say, there's another malady coming
your way tomorrow. Daily "maladies" are also available on heritage.org.)
Report Health Care Reform
Medicare Malady #31: Who Are The Drug Bills Supposed To Help Again?
August 26, 2003 1 min read
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BACKGROUNDER 35 min read
COMMENTARY 4 min read