AARP Florida: information, advocacy, and benefits for people age 50 and over.

AARP statement on Gov. Charlie Crist's prescription-drug discount plan

AARP Florida issued the following statement on a prescription-drug discount plan announced Thursday, Dec. 20, by Gov. Crist:

AARP Florida Director: Crist drug plan a step forward for Floridians struggling with health costs

Tallahassee, FL- AARP Florida State Director Lori Parham welcomed Gov. Charlie Crist’s effort to help Floridians save on prescription drug costs, saying that the plan underscores the importance of helping millions of Floridians struggling with health costs.

"Gov. Crist clearly wants to move Florida forward in providing health security for Floridians," said Parham. "AARP believes prescription drugs cost too much. Their costs are rising too rapidly. For the good of millions of Florida families, we should continue to address these fundamental issues. We look forward to working with the governor to strengthen the health security of Floridians."

Parham added that AARP is now researching the details of the Governor’s proposal. "If the plan provides Floridians with significant bargaining leverage, it could be an important step toward cutting the high cost of prescription drugs. Such a step would be particularly important for the 3.8 million Floridians who have no insurance coverage. AARP is especially interested in efforts to assist those age 50 to 64 who are experiencing health challenges but are too young to receive Medicare benefits. This plan also could help Floridians 65 and older whose prescription drug costs are high enough to put them in the Part D ‘doughnut hole.’ " More than 1.6 million Floridians are enrolled in Medicare Part D plans. Plans offering the standard Medicare Part D benefit pay 75 percent of the cost of drugs up to $2,510 per year. Thereafter, there is no coverage until beneficiaries have spent $4,050 per year, paying all but 5 percent of drug costs thereafter.

The Florida proposal is modeled after an Ohio program that pools the buying power of state residents to achieve voluntary discounts on prescription drugs. In some cases, state officials estimate savings could be 20 to 30 percent off the cost of drugs, which represent an important component of health-care costs for millions of Floridians. Savings could be lower for those with other drug coverage, or for drugs for which other discounts are available. A national advocacy group, Families USA, said this week that 4 million Floridians spend 10 percent or more of pre-tax income on health care.

"AARP welcomes the opportunity to address the high cost of prescription drugs," Parham said. "We also look forward to working with Gov. Crist on other ways to improve the health security of Floridians of all generations. The fact is, our health care system is broken. Many Floridians simply can’t afford to get sick. With Florida state government facing a bleak revenue picture and many other challenges, it is encouraging to see the Governor stepping forward to address the issues that ordinary Florida families wrestle with every day."

AARP Florida, Sunshine State doctors join to fight dangerous Medicare cuts

The government plans to slash payments to doctors while hiking Medicare premiums. Meanwhile, insurers are collecting billions in unnecessary payments.

By Lori Parham and Karl M. Altenburger, M.D.

For more than 3 million Floridians, Medicare can literally be a lifeline. Yet the promise and hope of Medicare – to provide high-quality, affordable health-care coverage for older Americans and those living with disabilities – are at risk of becoming hollow.

Under recently announced federal regulations, the government will slash the payments that Florida doctors receive for caring for Medicare patients by 15 percent over the next two years.

At a time when Florida physicians are being squeezed by overwhelmingly expensive medical liability insurance costs and lower reimbursement rates from both managed care and government payers, this proposal to cut doctors' reimbursement rates under Medicare would have an impact on health care access so severe as to virtually assure a collapse of our health care delivery system in Florida.

Medicare recipients' care at risk

More than doctors are affected. This risky plan puts Florida Medicare patients’ care at risk. Fully 60 percent of physicians nationally now say they will be forced to limit the number of new Medicare patients they can treat if the first Medicare reimbursement cut occurs next year.

The future may look even bleaker. With both the nation and Florida facing a looming shortage of physicians, and with the first Baby Boomers turning 65 in just a few years, Americans age 65 and older could face serious restrictions on access to quality Medicare services.

Paying more, getting less

Paradoxically, these cuts in doctors' reimbursement are taking place at the same time that Medicare premiums are rising.

That’s right -- older Floridians pay more, but risk having less access to quality care.

Access to health care remains a concern to all Floridians. We continue to have difficulty recruiting doctors in all specialties, particularly doctors who take care of the sickest patients. Recent health care workforce studies have shown that while our state's physician population is aging, we are not recruiting, in sufficient numbers, new physicians to take their place.

One of the main reasons that we are unable to recruit physicians to Florida is low or inadequate reimbursement rates that are not keeping up with inflation.

A better solution: Cut unnecessary payments to insurers

Better solutions exist. A U.S. House plan would minimize doctor reimbursement cuts and Medicare premium hikes by reducing overpayments to private health plans under Medicare Advantage managed-care plans, which are reaping what amounts to a $54-billion subsidy. This money comes out of the pockets of taxpayers and adds to already high Medicare premium increases.

However, some senators have resisted eliminating excess payments to insurance plans. The result is deep cuts in doctor reimbursements, combined with higher Medicare premiums for older Americans.

Help us help you: Contact your senator

Older Americans are relying on Congress to take action now so that they can get the medical care they want and need.

The U.S. Senate has a choice: Maintain its long-term commitment to keep Medicare strong for Americans – or continue to over-subsidize the big insurance companies. We call on our elected leaders to make the right choice.

Lori Parham is Florida State Director of AARP. Dr. Karl M. Altenburger is president of the Florida Medical Association.

Health Care

Nearly one in four Floridians age 18 to 64 lacks health insurace coverage and state officials say Florida hospitals spent $2.1 billion in 2006 caring for the uninsured.

But AARP is joining with business, labor, and community groups to educate the public about how to improve access to affordable, quality health care.

Join this new movement to end gridlock in Washington and demand answers from our leaders:

Take our pledge to be an informed voter!

Share your story about how health and financial security touch your life!

Tell a friend about Divided We Fail!

Volunteer!

Health IT

It's a digital world, right?

So why do most patients have paper medical records and prescriptions?

Read how Health IT saves lives.

Improving medical information technology can help save money, too. In his recent book, AARP CEO Bill Novelli cites estimates that an effective Health IT initiative could save $8 billion per year -- and many lives.

Think the health-care debate is only about covering the uninsured?

Actually, ideas for improving access, affordability and quality of health care cover a wide range of issues.

Read about these and other issues vital to America's future in Novelli's book, 50+: Igniting a Revolution to Reinvent America.

Return to Navigation