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Advising the Congress on Medicare issues
MedPAC > Recommendations > Improving Medicare Part D (1)

Improving Medicare Part D (1)

June 15, 2016

The Congress should change Part D to:

  • transition Medicare’s individual reinsurance subsidy from 80 percent to 20 percent while maintaining Medicare’s overall 74.5 percent subsidy of basic benefits,
  • exclude manufacturers’ discounts in the coverage gap from enrollees’ true out-of-pocket spending, and
  • eliminate enrollee cost sharing above the out-of-pocket threshold.

Appeared in: June 2016 - Chapter 6

Topics: Beneficiaries and coverage and Drugs, Devices, and Tests.