A new report projects the savings to Medicare beneficiaries who sign up for Medicare’s new prescription drug benefit in 2006. Prepared by the Actuarial Research Corporation (ARC) for the Kaiser Family Foundation, the report estimates that:
– Low-income beneficiaries who sign up for Medicare drug plans and receive the new federal subsidies (about 8.7 million seniors and persons with disabilities) will pay about 83 percent less for prescription drugs in 2006 than they would have spent if the Medicare drug law had not been enacted.
– Those who enroll in the new drug benefit but do not receive the low-income subsidies (about 20.3 million beneficiaries) will pay on average 28 percent less out of pocket for their prescription drugs.
For more information:
– Executive summary of the report (PDF)
– Full report (PDF)