Seniors Medicare

Medicare is a federal health insurance program for people 65 years of age or older. It pays for much of your health care, but not all of it. Medicare insurance does not cover the costs of  prescription drugs, deductibles, and coinsurance. Changes to Medicare deductibles and coinsurance effective January 1, 2006 are:

Medicare Hospital Insurance (Part A)

• Part A Deductible, $952 (per benefit period).
• Part A Coinsurance for hospital  (days 61–90) $238 per day.
• Lifetime Reserve Coinsurance (days 91–150) $476 per day.
• Skilled Nursing Facility (SNF) Coinsurance (days 21–100) $119 per day.

Medicare Medical Insurance (Part B)

• Part B annual Deductible $124.

Medicare Supplements are a health insurance policy sold by private heath insurance companies to fill the “gaps” in Medicare coverage. For more information, or to get a free, no obligation quote, fill out our online Medicare Supplement quote form.

Medicare Part D

The Medicare Prescription Drug, Improvement and Modernization Act of 2003 (commonly referred to as “MMA”) creates a new prescription drug benefit, Medicare Part D, which will provide access to pharmacy coverage for all Medicare recipients, effective January 1, 2006.

Prescription Drug Savings for Seniors

• For the first time in Medicare's history, a prescription drug benefit will be offered to all 40 million seniors and disabled Americans in Medicare to help them afford the cost of their medicines.
• Beginning January 1, 2006, seniors would save 10–25% off the cost of most medicines through a Medicare-approved drug discount card. Seniors would be able to take the card to their local pharmacy and receive the discount. Since the typical senior spends $1,285 annually on medicines, the card could save a senior who lacks drug coverage as much as $300 annually. The card would provide savings until the full drug benefit goes into effect.
• Beginning in 2006, seniors without coverage would be able to join a Medicare-approved plan that would cut their yearly drug costs roughly in half, in exchange for a $35 monthly premium. In many cases, the savings will be even greater.
  • Seniors with no drug coverage and monthly drug costs of $200 would save more than $1,700 on drug costs each year.
  • Seniors with no drug coverage and monthly drug costs of $800 would save nearly $5,900 on drug costs each year.
  • Seniors would be protected again high out-of-pocket costs with Medicare covering 95% of drug costs over $3,600 per year.
• Low-income seniors will receive additional help paying for their medicines.
  • A $600 annual subsidy would be added to their drug discount card.
  • There would be no additional premium, no deductible and low co-payments ($2 for generic or $5 for brand-name drugs) for seniors with limited savings and incomes at or below 135% of poverty (individuals with yearly incomes under $12,123 and senior couples under $16,362).
  • There would be reduced premium, a $50 deductible, and 15% co-insurance (85% of their drug costs would be covered) for seniors with limited savings and incomes between 135% and 150% of the federal poverty level (individuals with yearly incomes under $13, 470 and senior couples under $18,180).

For more information, or to get a free, no obligation quote, fill out our online Medicare Supplement quote form.