"Health Care Savings" Democrats are Pushing are a Fraud. Big Pharma Wins Again
I've been calling this The October Surprise.
It is a bit complicated, but I will do my best.
First, Barron's and many other publications leaked the news that this year's COLA will be the largest ever---somewhere between 10% to 11.4%. (It is usual for this news to get out now and the official notice will come later on in October.)
Furthermore, the despised and historically large Medicare Prescription Drug portion that Seniors pay every month jumped so high last year, that low-income seniors saw almost all of last year's COLA wiped out!
Biden took a lot of heat for that. AS you might image. This year, perched just before the November Election, is strategic. Obviously. So, the rumor is that the Prescription Drug payment might even go Down a bit. Ok. We will see.
The second bit of info we got this week comes from Bloomberg and at first it was kind of evasive.
Bloomberg tells us
From an article titled Winners and Losers in the New Senate Bill...
Medicare, Obamacare Enrolees-
"The final version of the bill 1)caps seniors' out-of-pocket prescription drug expenses to $2,000 per year, and 2) enables Medicare to negotiate the prices on 10 medications four years from now. 3) The bill also kicks the can on a massive increase in Obamacare premiums that were set to happen in January for many middle income Americans, which will now happen in three years."
1) Caps Out-of-pocket expenses to $2,000 per year. Bloomberg does not say When this Cap begins.
I dug a bit and it starts in 2025.
2) Negotiate prices? ONLY 10 drugs. Beginning in 4 years. If you take one of the 99,999 other medications you are SOOL.
3) Delays Increases on premiums for 3 years---this is good.
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If you have had enough, stop reading now.... if not
The increased COLAS are paid for from the printers, or whatever accounting they do now.
Lowering drug costs will impact Pharma.
Increasing the Medicare prescription drug payment last year supported the Health Industry.
It cost US.
THIS is what guides these decisions and feints---look like they are giving us something as long as it does not cost corporations or especially, Pharma.
The GOOD Solution would be a Cap tied to the COLA. COLA goes up---so does the prescription drug out-of pocket cap.