Congress Healthcare

Seniors Have Saved $6 Billion On Drugs. And House Republicans Just Voted to Take it Back.

A press release from the Department of Health and Human Services published this morning states that seniors have saved roughly $6 billion on prescription drugs following the closure of the infamous donut hole.

As the third anniversary of the Affordable Care Act approaches, Health and Human Services Secretary Kathleen Sebelius announced today more than 6.3 million people with Medicare saved over $6.1 billion on prescription drugs because of the health care law.

“By making prescription drugs more affordable, the Affordable Care Act is improving and promoting the best care for people with Medicare,” Secretary Sebelius said.

The Affordable Care Act makes Medicare prescription drug coverage (Part D) more affordable by gradually closing the gap in coverage where beneficiaries must pay the full cost of their prescriptions out of pocket. This gap is known as the donut hole.

House Republicans voted to approve the Paul Ryan budget this morning by a margin of 221 to 207, and what does this budget include? Among other things, it would reopen the donut hole.

The Ryan budget would repeal health reform’s provisions that improve Medicare benefits, including closure of the Medicare prescription drug donut hole and coverage of preventive services without cost sharing. These repeals would adversely affect current Medicare beneficiaries as well as those not yet eligible.

Health reform has begun to close the donut hole — the gap in Medicare prescription drug coverage that many seniors experienced once their annual drug costs exceeded $2,840. Before health reform, seniors had no additional coverage until their costs hit $6,448. Starting in 2011, seniors in the coverage gap began receiving a discount on brand-name and generic prescription drugs. These discounts and Medicare coverage will gradually increase until 2020, when the entire donut hole is closed. The Ryan budget would reopen the drug donut hole.

What the Republicans voted for today should be thoroughly documented for posterity and reiterated next year during campaign season.