Media Advisory | |
| For Immediate Release February 29, 2000 | |
Response To Clinton's State Survey: Think Tank Says Elderly Can Have Drug Coverage With No Extra Cost To The Government
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DALLAS (Feb. 29, 2000) - President Clinton today unveiled a state-by-state analysis on Medicare benefits to bolster support for his proposed plan to add a prescription drug benefit for seniors. However, the National Center for Policy Analysis says that the need can be met without a costly new government program.
America's seniors could have access to full prescription drug coverage without the government spending an additional dime on a costly new benefit, according to a recent NCPA study by the nation's leading actuarial firm for health benefits, Milliman & Robertson, Inc. The solution? Allow the elderly to combine Medicare funds with the money they currently spend on private insurance and pay premiums into a comprehensive private plan instead.
WHO: NCPA Health Policy Experts
WHAT: Reaction And Analysis Of Medicare & Prescription Drug Coverage
WHEN: Available Immediately
Because Medicare coverage is incomplete, seniors are exposed to significant out-of-pocket costs. About 360,000 face expenses in excess of $5,000 every year. To avoid these high costs, most seniors acquire private insurance to fill the gaps in Medicare - either through a former employer or by purchasing Medigap insurance. However, economic studies show that the two different types of coverage cause a great deal of waste. Furthermore, drugs are not covered by Medicare nor by many of the supplemental private plans.
According to the NCPA study, Medicare will spend about $5,800 on each beneficiary this year. Add to that about $1,611 for the most popular Medigap policy and the combined sum should pay for any of a range of health insurance options, all with prescription drug coverage.
The National Center for Policy Analysis is a public policy research
institute founded in 1983 and internationally known for its studies on public policy issues.
The NCPA is headquartered in Dallas, Texas, with an office in Washington, D.C.
Julie Hillrichs, Dallas, TX 972-386-6272 Sean Tuffnell, Dallas, TX 972-386-6272 Joan Kirby, Washington, DC 202-220-3082 Internet: http://www.ncpa.org Home | Support Us | All Issues | Social Security Debate Central | Contact Us |