[Congressional Record (Bound Edition), Volume 148 (2002), Part 8]
[House]
[Pages 10866-10867]
[From the U.S. Government Publishing Office, www.gpo.gov]




                   AFFORDABLE PRESCRIPTION DRUG PLAN

  (Ms. MILLENDER-McDONALD asked and was given permission to address the 
House for 1 minute and to revise and extend her remarks.)
  Ms. MILLENDER-McDONALD. Mr. Speaker, with 12 million seniors without 
prescription drugs, it is time for this House to address the issues 
that are so critical to seniors.
  Mr. Speaker, I want to speak out on behalf of seniors who are in need 
of comprehensive prescription drug coverage. Right now many seniors are 
forced to choose between buying food or purchasing necessary 
prescription drugs to sustain their health.
  The Democratic proposal will help all seniors by expanding Medicare 
to offer a prescription drug benefit that is universal, affordable, 
dependable, and voluntary. We do not and we cannot do less than to 
offer elderly women and men access to adequate health care that they 
can afford and easily be accessible.
  Our Republican colleagues are offering a plan that gives no real 
benefits or assistance to those who need quality prescription drug 
coverage. Their plan would cover less than one-quarter of Medicare 
beneficiaries and the cost over the next 10 years. Their plan would 
leave almost half of all of our seniors with no drug coverage. Remember 
what I said, 12 million without drug coverage whatsoever.
  We need to now give what is needed to seniors, Mr. Speaker. We can 
ill afford to wait any longer. We cannot advance this position any 
further. We must give our seniors the necessary prescription drug 
coverage.
  In contrast, the House Democratic plan will add a new Part D in 
Medicare that offers voluntary prescription drug coverage for all 
Medicare beneficiaries starting in 2005. The Democratic plan will help 
women and all seniors by offering: $25 monthly premiums; $100 annual 
deductibles; Co-insurance where beneficiaries pay 20 percent and 
Medicare pays 80 percent; $2,000 out-of-pocket limit per beneficiary 
per year.
  Low-income beneficiaries with incomes up to 150 percent of the 
poverty rate will pay no premiums or share costs.
  Beneficiaries with income ranging from 150 to 175 percent of the 
poverty level will receive assistance with the Part D Medicare premium 
on a sliding scale.

[[Page 10867]]

  The average senior has an income of about $15,000 per year and so 
needs an affordable benefit.
  Seniors need catastrophic coverage. That is where Medicare pays all 
prescription costs after the beneficiary has spent a specific amount of 
money out of their own pockets.
  The House plan would pay all drug costs after the beneficiary spends 
$2,000. By contrast, the Republican proposal would cost women up to 
$3,800 per year.
  The President's budget offers only $190 billion over the next 10 
years for Medicare reform including prescription drugs. Further, only 
$77 billion of this funding is earmarked for prescription drug coverage 
to the States to implement a low-income state-based drug plan.
  Under the Democratic plan, there would be no gaps in coverage, while 
the Republican plan will force beneficiaries in need of more than 
$2,000 worth of drugs to pay 100 percent of their out-of-pocket costs, 
and make them continue paying premiums until they reach their $3,800 
cap.
  Any willing pharmacy must be included in the network according to the 
Democratic plan, but private plans can limit which pharmacies 
participate in their network under the Republican plan.
  Beneficiaries would have coverage for any drug their doctor 
prescribes as included in the Democratic plan, yet with the Republican 
plan, private insurers can create strict formularies and deny any 
coverage for drugs not listed in the formulary.
  Women and seniors must have a prescription drug benefit that is 
guaranteed by the government as part of Medicare. Private insurance 
companies cannot be accountable for offering their own plans to people 
in need.
  The Health Insurance Association of America, the private insurance 
industry's association, has said they will not offer drug-only 
insurance because they will lose money. Seniors need a defined benefit 
so they will know what benefits they are entitled to.
  Without offering a minimum benefit, offering a choice to women and 
seniors won't make sense.
  Too many insurance plans will only confuse those in need of coverage. 
Women are looking for a defined benefit like the one now offered to 
them by Medicare.
  It's time to stop talking about providing for women seniors and 
actually take action to ensure the quality of their healthcare, and 
thus their lives overall. If we really care about all women, let's take 
this opportunity to show our concern by offering prescription drug 
coverage that will make a difference.

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