Letter Endorsing the Lower Out-of-Pocket Costs for Seniors Act

Dear Ranking Member Pallone and Ranking Member Neal:

On behalf of the millions of members and supporters of the National Committee to Preserve Social Security and Medicare, I am writing to endorse your bill, H. R. 6563, the “Lower Out-of-Pocket Costs for Seniors Act,” which would lower prescription drug costs for Medicare beneficiaries under Medicare Part D.

The “Lower Out-of-Pocket Costs for Seniors Act” would save Medicare beneficiaries billions of dollars by making permanent a provision in the Affordable Care Act that limits the growth of the annual out-of-pocket spending threshold.  This threshold amount determines when Medicare beneficiaries in the coverage gap, the so-called “donut hole,” are eligible for catastrophic coverage with much lower copays for their drugs.

It is our understanding that unless Congress acts to maintain the current calculation of the out-of-pocket threshold, which is $5,000 this year, it will increase from $5,100 in 2019 to $6,350 in 2020.  This means some Medicare beneficiaries would have much higher out-of-pocket spending for prescription drugs.We share your concern about the cost of prescription drugs for Medicare beneficiaries, even with Part D, and thank you for introducing the “Lower Out-of-Pocket Costs for Seniors Act.”

We look forward to working with you to pass this legislation that would help Medicare beneficiaries with the cost of their prescription drugs.

Sincerely,

Max Richtman
President and CEO