Washington, D.C. - Senator Tom Harkin (D-IA) announced today that the first round of checks have been mailed to Iowa seniors impacted by the "donut hole," or the Medicare Part D coverage gap. The tax-free, $250 rebate checks were mailed to seniors who have already hit the donut hole and do not receive Medicare Extra Help. Checks will be mailed each month to seniors as they encounter the gap in their prescription drug coverage to help cover their costs.
Last year, approximately 43,106 Medicare beneficiaries in Iowa hit the donut hole and did not qualify for Medicare Extra Help to defray the cost of their prescription drugs.
"Iowa seniors should have access to quality, affordable health care, and soon, they will see some of those immediate benefits of the new health reform law," Senator Harkin said. "These checks will help plug the gap in coverage and make much-needed medication easier to obtain. It is important for Iowa seniors to know they do not have to do anything to receive this rebate check -- it will be automatically mailed to them when they reach the donut hole, if they don't already receive Medicare Extra Help."
In addition to the monthly checks, starting in 2011 Iowa Medicare beneficiaries who do not receive Medicare Extra Help will receive a 50 percent discount on brand-name drugs and biologics they purchase when they are in the coverage gap. The coverage in the gap will increase on top of the discount until 2020, when the donut hole will be completely filled in.
Senator Harkin also urged seniors to be on the alert for potential scams as checks begin to hit mailboxes.
"Please be vigilant with your personal information, especially your social security number," Senator Harkin said. "Identity theft and fraud are very real threats. If you receive a phone call or request for sensitive information, do not respond, and please call 1-800-MEDICARE to report a suspected scam."
The Patient Protection and Affordable Care Act also works to protect Iowa seniors from fraud and identity theft scams, and Health and Human Services Secretary Kathleen Sebelius and Attorney General Eric Holder have invited Attorney General Tom Miller to join them in educating seniors and other Medicare beneficiaries on preventing scams and fraud. The Departments will convene a series of regional fraud prevention summits and invite top federal and Iowa officials to help ensure fraud is being reduced across the country.
The Patient Protection and Affordable Care Act also provides free annual wellness visits for Iowa seniors and eliminates deductibles, copayments, and other cost-sharing for preventive care. The law includes incentives for care coordination to improve health care quality and to better spend the more than 90 percent of Medicare dollars spent on treating chronic conditions.