California Health Insurance News 
Articles / Seniors in California getting the best Medicare deals in the USA
09/12/2005
The monthly cost for Medicare benefits in California will be about $25.41 when offered by companies set up solely to provide Medicare drug coverage. That compares with a national average premium of approximately $32.20, according to the Centers for Medicare and Medicaid Services, which administers the federal health program for seniors and the disabled.
"It’s a robust market," said Gary Karr, a spokesman for Medicare. "There are a lot of companies competing for business in California", he added.
Data released on Monday revealed that other Western States will also have lower than average premiums, including Hawaii at $27.44 and Arizona at $28.08 but California still beats them all. North Carolina is the highest at $36.86 followed closely by Louisiana at $36.85.
Health experts said high managed-care enrollment levels, owing to high densities of seniors in California and other Western states appear to be creating more competition and lowering premium costs.
Medicare's drug benefit is the biggest change made to the program since its inception 40 years ago. It will offer varying prices and coverage levels starting Jan. 1, 2006. Medicare recipients can begin enrolling in November.
" Seniors must remember to enroll before May, 15th", said David Thau, founder and CEO of Keep It Simple Insurance in Los Angeles, "or suffer penalties of a lifetime of increased drug premiums."
Tricia Neuman, vice president of the Kaiser Family Foundation, wisely pointed out that premium cost alone is not the best way to select a Medicare Drug plan as other factors like high co-payments could cancel out the benefits of a low premium. David Thau also advises caution and consultation with your Health Care person before committing yourself to any of the new plans.
Seniors should therefore take note of what drugs are covered and what co-payments are, to get an idea of what the actual cost is and what the savings will be.
