No I am not talking about a sweet treat of a doughnut hole. This doughnut hole is part of the Medicare changes and is actually one that is really hitting seniors hard. It is a loophole in the new Medicare coverage that many seniors were not aware of, but are quickly finding out about. Here is how it works.
- Medicare part D will pay 75% of your prescription costs for the first $2,250 worth of medicines for the year.
- Once you reach that limit, the coverage drops to 0%, leaving seniors paying the entire prices
- Once you prescription costs hit $5,100 for the year then Medicare kicks back in and covers 95% of the costs.
Now these amounts might seem like a lot, but consider the number of drugs a lot of seniors are on. You get a person suffering from emphysema and congestive heart failure, then that person taking 15-20 different prescriptions a month is not out of the question. It is not uncommon for one person to have a monthly medicine bill exceeding $1,000 and in some cases $2,000 or $3,000.
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