Although the Medicare prescription drug benefit, or Part D, has been viewed by some as largely successful, TSCL believes this program remains flawed. TSCL considers it necessary to compile feedback on the measure of success or failure of the program and its doughnut-hole phase.

The price of many prescription drugs dramatically increased after the benefit was implemented and continues to do so. This is due in large part to the cost of brand name and specialty drugs for which there is no generic or lower-cost alternative. These medications are often placed in “specialty tiers” that significantly drives up out-of-pocket costs and can cause beneficiaries to hit the doughnut-hole gap in coverage sooner. 

Another problem is that the doughnut-hole coverage gap continues to grow deeper.  In 2008, Medicare beneficiaries had a $2,510 initial coverage limit, and then had to spend a total of $4,050 out of pocket before catastrophic coverage would start.  The amount of total out-of-pocket spending was up from $3,850 in 2007.  Another problem is the almost total lack of drug plans that cover brand name drugs in the doughnut hole.

TSCL is supportive of increasing and improving outreach to seniors, especially those individuals that could qualify for Extra Help. Simplifying and streamlining the application process would also be a vast improvement the program. In addition to improving Medicare Part D and supporting safe prescription drug re-importation, TSCL will continue to seek other potential solutions for lowering the price of drugs for America’s seniors.