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Today is Friday, November 11, 2011

      • Back to Social Security or  Front Page 

New York & Connecticut

Social Security Reverses Course and Agrees to Send Low-Income People with Medicare Corrected Letter about Eligibility

Oct. 31, 02 - Reversing course, the Social Security Administration (SSA) agreed today in federal district court to send letters to over a million low-income people with Medicare correcting misrepresentations the agency sent earlier this year regarding eligibility for federal programs that assist people with Medicare with paying for health care costs.

The proper notifications will go out to all low-income people with Medicare in New York and Connecticut from November 18 through December 18, 2002, the SSA said.

SSA's about-face came at today's court hearing in a suit filed by the Medicare Rights Center (MRC), a consumer service organization. The suit was filed last week following months of requests by MRC and others urging the agency to correct the misinformation contained in letters aimed at increasing enrollment in the Medicare Savings Programs.  Until today, the SSA had rebuffed these requests.

In the suit, MRC contended that the SSA violated federal law by misrepresenting eligibility requirements for the federal Qualified Individual Beneficiary Program (QI-1), which pays the annual $648 Medicare premium.

"We commend the Social Security Administration for re-thinking its position, and agreeing in court today to follow the law.  Congress directed the Bush Administration to reach out to increase enrollment in these health care programs.  Anyone who cares about the health care crisis for America's elderly should be allies in increasing access to care through these programs," said Robert M. Hayes, president of the Medicare Rights Center.

In New York and Connecticut, the $4,000 and $6,000 asset limits for an individual and a couple, respectively, have been eliminated for the QI-1 program.  However, since June the SSA has sent over one million misleading letters in those states and elsewhere stating that these asset requirements were still in effect

In 2000, Congress mandated that SSA send a letter with state-specific information to low-income people with Medicare about QI-1 and other Medicare Savings Programs because most people are unaware that these programs exist so enrollment in these programs is low, Mr. Hayes said.   

Currently, the QI-1 program pays the Medicare Part B premiums for more than 100,000 Americans with incomes between 120 to 135 percent of poverty ($10,642 to $11,964 for a single person).  In 2002, the annual Medicare premium is $648 and will rise to about $704 in 2003. 

The law firm of Hughes Hubbard and Reed & LLP is serving as lead counsel in the suit on a volunteer basis.

Medicare Rights Center (MRC) is a national, not-for-profit consumer service organization working to ensure that older adults and people with disabilities receive high-quality, affordable health care.  For more information about MRC, visit the MRC web site: www.medicarerights.org.

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