ANN ARBOR, Mich., Feb 11, 2009 (UPI via COMTEX) -- More than 90 percent of U.S.
adults age 65 and older have prescription drug coverage today, compared with 76
percent in 2004, researchers say.
The University of Michigan analysis found poor seniors are just as likely to
have coverage as the rich. The analysis compares drug coverage among a
nationally representative sample of 9,321 older Americans interviewed both in
2004 and after the Medicare Part D prescription drug benefit started in 2006.
The Health and Retirement Study, conducted since 1992 by the University of
Michigan Institute for Social Research, found median out-of-pocket drug spending
dropped from $100 in 2004 to $40 in 2006 for those newly covered by Medicare
Part D. In 2004, the analysis found, 24 percent of Americans age 65 and older
lacked prescription drug coverage. In 2006, 7 percent lacked coverage.
"Despite widespread concerns that the plan is complex and confusing, our
findings show that 60 percent of seniors who had no drug coverage signed up for
Part D," economist Helen Levy, who co-authored the paper with economist David
Weir, said in a statement.
"Further, 70 percent of those who had three or more conditions requiring
medication signed up for Part D, compared with 37 percent who had no such
medical conditions. This suggests that the decision to sign up reflects a
rational economic choice, based on the need for prescription medication."
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