Health Care Reform

Seniors Save More Than $1.2 Billion on Prescriptions Thanks to the Affordable Care Act

More than 22.6 million people with Medicare received free preventive services this year

WASHINGTON, DC–(ENEWSPF)–November 3, 2011.  So far this year, more than 2.2 million people with Medicare have saved more than $1.2 billion on their prescriptions, for an average of $550 per person, the Centers for Medicare & Medicaid Services announced today.  And more than 22.6 million seniors and people with disabilities have taken advantage of at least one free Medicare preventive benefit, including the new Annual Wellness Visit made possible by the Affordable Care Act.  

“Thanks to the Affordable Care Act, seniors are getting cheaper prescription drugs and free preventive care,” said CMS Administrator Donald M. Berwick, MD.  

Under the Affordable Care Act, people with Medicare can receive many preventive services at no charge, including diabetes screening, some cancer screenings and help to quit smoking. 

People with Medicare across the country are also receiving cheaper prescription drugs. Thanks to the Affordable Care Act, seniors and people with disabilities receive a 50 percent discount on covered brand name drugs in the Medicare Part D coverage gap, also known as the “donut hole.”  The coverage gap discount is set at 50 percent on covered brand name drugs again in 2012. Coverage in the donut hole will progressively increase each year until the coverage gap closes in 2020.

In addition to donut hole discounts, average premiums for Medicare Part D prescription drug plans will remain virtually unchanged in 2012.  Medicare also recently announced that average Medicare Advantage premiums will drop 4 percent next year.  Part B premiums, which cover outpatient services including doctor visits, will only rise $3.50 per month for most beneficiaries in 2012, and some will see a decrease.  These changes will be more than offset by the average Social Security cost of living increase ($43 per month for retired workers).  

Medicare open enrollment: From October 15 – December 7

People with Medicare can now review their drug and health plan coverage options for 2012 as part of the annual Medicare Open Enrollment Period.  CMS is highlighting plans that have achieved an overall quality rating of  five stars with a high performer or “gold star” icon on Medicare’s Plan Finder –

This year the Enrollment Period is early and has been expanded by one week to run from October 15 to December 7. This will give people with Medicare more time to find the plan that best meets their needs.  Beneficiaries will be  able to switch to any available five-star plan at any time during the year without having to wait for the next open season. 

For more information about how the Affordable Care Act closes the donut hole over time, go to:  

For state-by-state information on the number of people who are benefiting from discounts in the donut hole in 2011, go to:

For state-by-state information on utilization of free preventive services and the Annual Wellness Visit, go to:

For more information on Medicare’s prevention benefits, go to the Share the News. Share the Health! website: call 1-800-MEDICARE.