Gov. Blagojevich says seniors need more time to select new prescription drug plans, writes federal Medicare director         

[NOV. 22, 2005]  CHICAGO -- Amid confusion and frustration surrounding the new federal prescription drug benefit, Gov. Rod R. Blagojevich sent a letter Sunday to the director of the Centers for Medicare and Medicaid Services, Dr. Mark McClellan, urging him to back a proposal that would extend the enrollment period for the Medicare Part D program by six months. Nearly 1.6 million Medicare beneficiaries in Illinois will have to choose a new plan from among 42 different Medicare prescription drug plans.

"We can all agree that senior citizens need help paying for their medicine," the governor wrote. "While the intent of the new Medicare Part D program is to help senior citizens save money, that can only happen if they understand how the program works. In Illinois, that's not the case. Most senior citizens are confused by the complexity of the program. They're concerned about making the wrong decision. And they need more time to decide which plan is best for them. That's why I support the Medicare Informed Choice Act introduced by Illinois U.S. Sen. Dick Durbin and congresswoman Jan Schakowsky, and I urge your agency to do the same."

Just last week, the federal government sent wrong information to about 30,000 senior citizens who participate in the state's SeniorCare program, telling them they would not need to choose a Medicare Part D plan because they would be automatically enrolled. However, SeniorCare members are, in fact, required to sign up for additional assistance with the Social Security Administration in order to continue receiving the state's wrap-around coverage. Now tens of thousands of seniors are at risk of losing out on the new benefit because they don't understand that they need to sign up.

In addition, many people with Medicare who have employer coverage have yet to hear from their employer on how Medicare prescription drug coverage will affect their current coverage. Even though the deadline for issuing the notice of creditable coverage was Nov. 15, many seniors do not recall receiving this document and now must call their health benefits administrator to find out if their plan will continue.

The Medicare Informed Choice Act would extend the deadline for enrolling in the new drug benefit program to the end of 2006, instead of May 15, and would allow beneficiaries to make a one-time change in plan enrollment during 2006. Under current rules, beneficiaries will have to pay a penalty if they enroll after May 15 and are prohibited from switching plans until 2007. In addition, the legislation protects retirees from being dropped by their former employer's plan during the first year of the new program's implementation.

"Until Congress passes a plan allowing Medicare to negotiate lower drug prices, the least we can do for seniors is give them more time to understand their options and make the best choice under the current system. With more than 130 different drug plans in Illinois, the risk is just too great for seniors to make uniformed decisions about their health," Durbin said.

"My constituents are begging for help, and the people on the ground charged with implementing this complicated drug benefit are begging for more time," said Schakowsky. "Senior citizens and people with disabilities in my district are being inundated by marketers as they sort through over 60 plans without the support of independent counselors. That's why we need this bill. The Medicare Informed Choice Act would provide relief by making three simple changes in 2006: elimination of the late-enrollment fee, a one-time opportunity for every beneficiary to switch plans and protection against the loss of retiree health benefits."

[News release from the governor's office]

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