California Health Insurance News 
Articles / November 15th is start of enrollment time for Medicare Part D
09/23/2005
Seniors will be pleased to hear that next month there will be a wide range of alternatives to choose from when the actual details of Medicare Part D are broadly announced. The most commonly asked question that is being asked by our senior community is: "What are the standard benefits that Plan D will pay and what is the real cost to us?"
In 2006, people with Medicare will have access to the standard drug benefit designed by the federal government. Although each insurance company may modify this design, the benefit package that they offer must at least be equal in value to the standard benefit of the Medicare Supplement Plan.
This standard benefit consists of the following:
There will be a monthly premium of approximately $35. It will be an advantage to Seniors in California who will benefit by the lowest premiums in the USA.
There will be an annual deductible of $250.
There will be co-insurance of 25%up to an initial coverage limit of $2,250
The member is responsible for all costs between $2,250 and $5100. (This gap in coverage is often referred to as the "donut hole" or "gap")
The enrollee pays 5% for all prescription drug costs greater than $5,100 which equates to $3,600 in the member's out of pocket costs.
"Some of these terms may seem a little confusing to some of our senior citizens" said David Thau, the founder and CEO of 'Keep It Simple Insurance,' "but that is where a reputable broker or agent comes in to take as much time as is needed by the client to explain in great detail, any confusions that they may have. In my opinion it is not fair to take advantage of someone with something as new as this just because they don't understand enough to make an informed decision".
"Much good information is now available on Google and Yahoo as Part D becomes better understood", added Thau "and I would highly recommend that as many seniors as possible read up what they can before the deadline of May 15th 2006 arrives. For more information about Medigap Insurance Plans, go to www.keepitsimpleinsurance.com which will handle most of the common questions being asked.
