We-Have-to-Pass-It-to-Find-Out-What’s-In-It Update

Millions of seniors face double-digit hikes in their Medicare prescription premiums next year unless they shop for cheaper coverage.

A new analysis of government data finds that premiums will go up an average of 10 percent among the top plans that have signed up some 70 percent of seniors…

More than 3 million seniors will see their plans discontinued, according to Avalere. Medicare says all but 300,000 will be seamlessly switched to another plan offered by the same insurer, but the Avalere data suggest it may not be that simple…

The second-largest, the AARP MedicareRx Saver plan, with more than 1.5 million members nationally [is] being discontinued in 2011… Seniors in the AARP Saver plan are expected to be switched to AARP MedicareRx Preferred.

But the switch will raise premiums by close to 15 percent on average for seniors in the Saver plan. They now pay an average of less than $31 a month, and would be paying nearly $35 if they decide to stay in the Preferred plan next year.

Comments (4)

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  1. Ken says:

    More bait and switch. No surprise.

  2. Larry C. says:

    All this is just another way of telling us that the seniors are getting screwed. I think I already knew that.

  3. Nancy says:

    I agree with Larry.

  4. Devon Herrick says:

    The Patient Protection and Affordable Care Act closes the so-called “donut hole” by 2019. With little reason to switch to generic drugs or watch what seniors spend on prescriptions, drug utilization will skyrocket and Medicare Part D premiums will follow.