Oregon DHS - Seniors & People with Physical Disabilities: Medicare Prescription Drug Program

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Seniors and people with physical disabilities

Department
- Human Services Department
- Divisions

Medicare Prescription Drug Program

Prescription Drug Benefits will be added to Medicare in 2006. All people with Medicare will be able to enroll in plans that cover prescription drugs. Plans might vary, but in general, this
is how they will work:

You will pay a premium of $35 per month and then choose a prescription drug plan.
You will pay the first $250 (called a deductible).
Medicare will then pay 75% of costs between $250 and $2,250 in drug spending. You will pay only 25% of these costs.
You will pay 100% of the drug costs above $2,250 until you reach $3,600 in out-of-pocket spending.
Medicare will pay about 95% of the costs after you have spent $3,600.

Some prescription drug plans may have additional options to help you pay the out-of-pocket costs.

Extra help will be available for people with low incomes and limited assets. Most significantly, people with Medicare in the greatest need, who have incomes below a certain limit won't have to pay the premiums or deductible for prescription drugs. The income limits will be set in 2005. If you qualify, you will only pay a small co-payment for each prescription you need.

Other people with low incomes and limited assets will get help paying the premiums and deductible. The amount they pay for each prescription will be limited.

For more information go to: www.medicare.gov

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Page updated: September 22, 2007

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