The Affordable Care Act offered many new initiatives for Americans but for seniors, one of the most important aspects was the closing of Medicare Part D’s “doughnut hole.” At present, seniors who are Medicare Part D beneficiaries enter a gap in coverage for their prescription drugs when they reach the $2,750 threshold. They receive no coverage again until they spend over $6,000. This “doughnut hole” has been problematic for our seniors for years and is especially harmful to seniors on limited incomes that have chronic medical conditions or serious illnesses that require many expensive prescriptions. For them, out-of-pocket medical costs add up quickly.
In June, the first onetime $250 rebate checks from Medicare were distributed to seniors who reached this “doughnut hole” in March. Over 4 million beneficiaries are projected to be eligible for the rebate check this year.
Unfortunately, the rebate checks have also attracted countless scams. The scammers suggest that they can help seniors obtain their rebate check and ask for personal or banking information. Ohio has partnered with the Take Action – Protect Yourself from Fraud program (
http://aging.ohio.gov/news/pressrele...0/20100611.htm). The Centers for Medicare and Medicaid Services also put out a detailed brochure about the rebate check at
http://www.medicare.gov/Publications/Pubs/pdf/11464.pdf
The other piece of news that has hit the airwaves is that some states are looking to collect the rebate checks to help offset their strained budgets. Kathleen Sebelius of the U.S. Health and Human Services has again reiterated that the “rebate checks are intended to provide fiscal relief to seniors, not states.”
I have not heard if Ohio is looking to explore this avenue as well.
These rebate checks will most likely be used by seniors to help offset much needed medical costs or just basic needs such as food. In addition, at a time when safety net programs are struggling to serve a larger client-base with a smaller budget, this small amount of money could be quite beneficial to vulnerable seniors. This is not a place for states to help offset their strained budgets.