Independent experts at both the Office of the Actuary at HHS and the Congressionl Budget Office have said that government involvement in price negotiation for Medicare drug benefit would not lead to lower cost for taxpayers, and it will lead to significant restrictions in access to drugs for seniors.
Government interference with price negotation is unecessary because experience with part D thus far demonstrates that intense competition among many insurance companies and price negotiation with drug companies are working. During the first year of operation, the part D benefit has come in $13 billion under budget. That's significant.
The bill passed by congress is solely on comparison with Veterans Administration policy. My personal research shows that comparing 26 commonly used drugs with VA formulary and Medicare part D formulary, Medicare rejected one and VA rejected 15. I can demonstrate that part D is getting 22% discount from drug companies that is being passed on to benificiaries.
The program is designed to help most those in greatest need, those of low income and those with catastrophic drug costs. The present bill passed by congress is politically motivated.
| | Posted by alanrph at 5:50 PM - | |
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