Press Release
FOR IMMEDIATE RELEASE
Contact: Mitchell Clark
Senior Communications Associate
212-204-6286March 19, 2012
Medicare Rights Center Marks Two-Year Anniversary of the Affordable Care Act
-- Health Reform Saves Money on Prescription Drugs,
Expands Access to Preventive Care--New York, NY—Two years ago this week, the Affordable Care Act (ACA) was passed into law, bringing real benefits to the tens of millions of Americans who have Medicare. In 2011, as a result of the ACA:
- almost 3.6 million Medicare beneficiaries saved more than $2.1 billion on prescription drugs in the coverage gap thanks to discounts on brand name and generic medications;
- 25.7 million beneficiaries in Original Medicare accessed preventive services, including mammograms, prostate cancer screenings, and the annual wellness visit, at no out-of-pocket cost;
- almost $4.1 billion was recovered in improper Medicare payments through fraud prevention efforts;
- payments to Medicare Advantage plans were brought more in line with costs under Original Medicare and premiums went down on average, benefits remained stable and plans did not leave the market; and
- the financial health of the Medicare program has been improved, putting Medicare in a stronger position to serve older adults and people with disabilities in the future.
“In the second year of its implementation, the ACA has improved access to health care for millions of people with Medicare,” said Joe Baker, President of the Medicare Rights Center. “Medicare beneficiaries are receiving preventive services at no cost as well as cheaper prescription drugs in the coverage gap, and while the immediate benefits of health reform are encouraging, there is still a lot to look forward to as the law is being implemented.”
Future improvements that will occur as ACA implementation continues include:
- closure of the Part D coverage gap by 2020;
- ensuring that Medicare Advantage plans use at least 85% of revenues on medical services for plan members starting in 2014;
- gradual further reductions in over payments to Medicare private insurance companies to bring them more in line with costs under Original Medicare; and
- extending the solvency of the Medicare Hospital Trust Fund for an additional 8 years, until 2024
“The Affordable Care Act takes the right approach to strengthening Medicare’s finances by creating a more efficient program and attacking the root cause of growing Medicare costs, which are the rising costs in the health care sector overall. While some policymakers propose reducing the deficit by cutting Medicare benefits and shifting costs from the federal government to people with Medicare, the ACA demonstrates we can begin to contain costs without slashing benefits or increasing what people pay for care even while making improvements to the program,” said Mr. Baker. “Continued implementation of the Affordable Care Act is essential to keeping the Medicare program robust for all current and future beneficiaries.”
For additional information see Medicare Rights Center's new fact sheet:
The Medicare Rights Center is marking the second anniversary of the ACA by doing a series of information calls with partner organizations in Florida, New York, Kansas, Maine and Alabama. A short video about key successes of health reform can be found here:
"Second Anniversary of the Affordable Care Act"
“The Affordable Care Act: Before and After”- end -
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www.twitter.com/medicarerightsMedicare Rights Center is a national, nonprofit consumer service organization that works to ensure access to affordable health care for older adults and people with disabilities through counseling and advocacy, educational programs, and public policy initiatives.
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