THE WHITE HOUSE
Office of the Press Secretary
Side-by-side Comparison of President's Medicare Prescription Drug
Benefit Versus Republicans' Private Insurance Plan
June 29, 2000
Clinton/Gore & Democrats House Republicans
Who's Covered All seniors and people with Less than half of seniors
disabilities who lack drug and people with disabilities coverage today would gain who lack drug coverage today coverage under this plan. would join the plan. "Of those who purchase Part B but do not have drug coverage, CBO assumes that 46 percent purchase a qualified drug plan." [Congressional Budget Office analysis of H.R. 4680, 6/28/00] Does the Plan Yes. All Medicare No. Assumes private Provide an beneficiaries would have the insurers will volunteer to Affordable, option of a reliable offer coverage and collect Workable benefit, including those in premiums, which the
Prescription rural and underserved areas. insurance industry itself Drug Benefit Seniors with retiree health says won't work:
coverage could keep it. "Private, stand-alone The proposal ""sets the prescription drug coverage nation on exactly the will not work. To pass correct course to guarantee legislation to provide that Medicare will continue access to such coverage to provide first-class would constitute an empty medical care." [National promise to Medicare Council of Senior Citizens, beneficiaries." [The Blue 5/10/00] Cross / Blue Shield Association Letter to "We applaud the President's Senator Roth, 4/24/00] In strong leadership on this addition, HIAA says that issue. His proposed coverage anticipated by the prescription drug benefit is Republican proposal is voluntary, affordable, and 'virtually impossible for covers all seniors through insurers to offer to seniors the Medicare program." at an affordable premium." Martha McSteen, National [HIAA Release, 6/13/00] Committee to Preserve Social Security and Medicare "HR 4680 - provides no [6/29/00] assurance to a Medicare beneficiary that her "The President's plan will prescription drug needs will provide consistency and be met." [Consortium for stability in premiums Citizens with Disabilities, regardless of region, and 6/27/00] predictability in terms of coverage." [Older Women's "This legislation would not League, 6/29/00] guarantee universal and affordable access to seniors (and is) at odds with the" principles of any meaningful prescription drug bill." [Leadership Council of Aging Organizations 6/21/00] What Do No deductible, 50 percent Benefits would vary from You Get coinsurance up to $5,000 in plan to plan. "Standard" costs when phased in. option has a deductible of Out-of-pocket spending $250, a 50 percent copayment limited to $4,000 up to $2,100 in costs. Out-of-pocket spending limited to $6,000 How Much Does $26 per month in 2003 for Premiums would vary from it Cost all participants plan to plan. Average of $39 in 2003 -- 50 percent higher than the President's plan.
What is the Value of coverage in 2003: Value of coverage in 2003:
Value of $835 $670 Coverage Seniors would pay more 50 percent more for a benefit that is 20 percent less valuable. Do Seniors Plans: Yes. In Plans: Yes, but only if Have Choice fee-for-service, managed private insurers participate care, or retiree plans if eligible Drugs: No. Beneficiaries Drugs: Yes. would only be able to access Doctor-prescribed drugs are certain drugs through an guaranteed without going appeals process through insurer or managed care plan Pharmacies: No. Insurers Pharmacies: Yes. All could restrict participating local, qualified pharmacies pharmacies would be accessible Start-Date 2002 2003 Takes Yes. No.
Who Supports Virtually all major Drug companies and their representatives of seniors allies and people with disabilities ###