Press Release             

FOR IMMEDIATE RELEASE
Contact: Deane Beebe
Communications Director
212-204-6219
E-mail
Medicare Rights Center

August 15, 2005

New Medicare Drug Benefit Threatens Stability of Patients on Psychiatric Medications, New Report Finds --Congress and Administration Urged to Erect Safety Nets--

New York, NY – Impoverished psychiatric patients face an abrupt loss of existing drug coverage, and many others face abrupt changes in their medicine and dangerous side-effects because of the new Medicare drug benefit.

The report, "Undermining Stability: The Plight of Mentally Ill Americans Under the 2006 Medicare Drug Benefit", calls on Congress to authorize the continuation of existing Medicaid drug coverage as an emergency safety net for the 6.4 million Americans set to lose that coverage on January 1, 2006.

The report finds that millions of these impoverished men and women are at risk of losing existing coverage either because of systems' failures by state and federal officials or because their disabilities, as well as health literacy issues, prevent them from immediately navigating the transition to a new Medicare drug plan.

"The disruption of drug coverage will be devastating to the poorest, frailest and most disabled Americans," said Robert M. Hayes, president of the Medicare Rights Center. "Congress and the White House are on notice that people with mental disabilities are being put in harm's way without an assurance that current medications will be maintained."

Undermining Stability also calls for the Centers on Medicare and Medicaid Services to require that its endorsed drug plans provide a transitional supply of medication for people whose current drugs are either dropped from the plans' covered drugs or are subject to high out-of-pocket co-pays.

"People with mental illness are especially vulnerable to abrupt shifts in medicines," Mr. Hayes said. "Perhaps the most significant factor in allowing people with mental illness to live decent and stable lives is compliance with an effective and consistent medication plan."

The 18-page report comes as the Administration continues its campaign urging 42 million Americans with Medicare to enroll in the new drug benefit. It also recommends:

  • Prohibit the use of formulary management techniques, such as prior authorization, and favor alternative cost management approaches, such as those that aim to educate providers and adjust prescribing patterns behaviors to comply with best practices.
  • Quality assurance monitoring by CMS should include monitoring of formulary operations, including plan customer service and retail pharmacy practices as well as their effect on clinical outcomes.
  • Establish a CMS-directed Helpline for All Transition Problems