Significant enhancements are on the horizon for Medicare Part D beneficiaries
As we transition into the final quarter of 2023, significant enhancements are on the horizon for Medicare Part D beneficiaries. This is primarily due to the influential Inflation Reduction Act. Let's dive into these pivotal updates and understand why they matter.
Spotlight on Medicare Part D Changes 2024
Medicare expert and acclaimed author of "Maximize Your Medicare," Jae Oh, suggests that the forthcoming alterations are primarily beneficiary-centric. Notably, Medicare Part D has been thrust into the limelight, especially with the Inflation Reduction Act paving the way for critical drug price negotiations.
The Battle Against Inflated Drug Prices 2024
Our federal government is actively combatting surging drug prices, a move spurred by the repercussions of inflation and a revealing report by the Kaiser Family Foundation.
This report highlighted that a mere 10 drugs were responsible for a whopping $48 billion in Medicare Part D expenditures in 2021.
Expansion of the Extra Help Program 2024
2024 will usher in a significant expansion of the Extra Help Program, further promoting affordable prescription drugs. With the adjusted income-based cutoff, a broader spectrum of beneficiaries can now avail of this benefit. As per data from the National Council on Aging, an astonishing 3 million individuals, despite being eligible for the Extra Help Program, haven't enrolled yet.
Given the program's impending expansion, I ardently recommend all potential beneficiaries to verify their eligibility and seize this advantageous opportunity. KC Stark
Revamping the Catastrophic Coverage
There's also a notable shift in the Catastrophic coverage dynamics. Previously, once beneficiaries hit the $7,400 threshold in out-of-pocket expenses, they'd still be liable for 5% of the costs. Jae Oh elaborates, "In 2024, this responsibility will be completely eradicated, dropping to a 0% liability."