“ The new Medicare prescription drug law offers no protection from increases in the Medicare Part D premium. This is not good news for the many widows who do not qualify for the low-income benefits who may already see much, if not most, of next year's COLA eaten up by out-of-pocket Medicare increases.” - - Barbara B. Kennelly

Statement From The Honorable Barbara B. Kennelly In Support Of Social Security COLA Protection Act Of 2004 

The rising cost of prescription drugs will take yet another big bite out of retirees' Social Security checks when the new Medicare prescription drug benefit is implemented in 2006 . Coupled with the limited assistance available through the prescription drug program, seniors have been set-up for another hit to their wallet. For this reason, the National Committee to Preserve Social Security and Medicare is supporting legislation introduced this week by House and Senate Democratic lawmakers to protect the Social Security cost- of-living-adjustment (COLA) from such increases.

The “Social Security COLA Protection Act of 2004” would guarantee that no more that 25 percent of a retiree's annual COLA could be eaten up by the combined increases in the Part B and Part D Medicare premiums. Thus, a Social Security beneficiary could be assured that at least 75 percent of his or her COLA would be preserved to cover the costs of inflation in health care costs, food, energy and housing.

The Social Security COLA Protection Act of 2004 protects Social Security checks from the ravages of drug and health care inflation and is a welcome antidote to one of many flaws in the Medicare law.