Second Round of $250 Rebates in Mail to Latest
Seniors to Fall into Medicare Donut Hole
‘First step in closing the prescription drug coverage
gap under the Affordable Care Act’ - HHS Sec. Sebelius
July 8, 2010 – A second round of $250 rebate checks
for senior citizens who have fallen into the Medicare Part D “donut
hole” have hit the mail. More than 300,000 seniors will be receiving the
tax-free, one-time rebate checks.
These one-time rebate checks are the first step in
closing the prescription drug coverage gap under the Affordable Care
Act, according to the announcement by Health and Human Services
Secretary Kathleen Sebelius.
The first round of checks were distributed in the
middle of June. As qualifying Medicare recipients “fall into the donut
hole,” they will be sent a rebate check by Medicare.
The easiest part of Medicare insurance to understand
has just become more complicated: two new plans introduced, four plans
no longer for sale, many changes in others
“Seniors and other Medicare recipients in the
Medicare donut hole are struggling to afford the medications they need
and their basic living expenses. Seventy percent of our first round of
these $250 rebate checks were cashed within a week of eligible Medicare
recipients receiving them; so, we know that folks really need some
help,” said Secretary Sebelius.
“The Affordable Care Act starts to close the donut
hole this year, giving much-needed relief to millions of seniors. In
2011, the Affordable Care Act takes an additional step for Medicare
beneficiaries in the donut hole by providing them with a 50 percent
discount on their brand name medications. Every year from 2012 until
2020, the Affordable Care Act will take progressive steps to close the
donut hole.”
“Seniors also need to know that they will just
receive their check at their usual address - they don't have to take any
extra steps,” said Centers for Medicare & Medicaid Services Deputy
Administrator and Director for the Center for Medicare, Jonathan Blum.
“And they should never give out their personal
information. If someone asks for your personal Medicare information over
the phone who isn't a trusted resource like Medicare, please don't
provide it.
“Seniors or family members should contact us at
1-800-MEDICARE to report any of these types of calls or go to
www.stopmedicarefraud.gov to learn more about efforts to fight fraud
and scams against seniors.”
Secretary Sebelius joined local officials in
Manchester, N.H., today for a forum with senior citizens to discuss the
rebate checks and other benefits of the Affordable Care Act as well as
efforts to fight Medicare fraud.
The $250 checks are being mailed to those Medicare
beneficiaries who entered the Medicare Part D donut hole, also known as
the coverage gap, in the second quarter of 2010 and are not eligible for
Medicare Extra Help (also known as the low-income subsidy or LIS) or
enrolled in a qualified retiree prescription drug plan.
The donut hole is the period in the prescription
drug benefit in which the beneficiary pays 100 percent of the cost of
their drugs until they reach the catastrophic coverage phase.
Medicare Extra Help provides assistance to seniors
so they don’t face higher costs or a coverage gap in their prescription
drug coverage. Qualifying Medicare beneficiaries who entered the donut
hole in the first quarter of 2010 who were not eligible for Medicare
Extra Help received a check in the first round of rebates mailed June
10th. Going forward, a check for qualifying beneficiaries newly reaching
the donut hole in 2010 will be mailed monthly.
Keep up with the latest news for senior citizens, baby
boomers