Thompson Renews Call for Medicare Rx Drug Deadline Extension

Rep. Mike Thompson (D-Napa Valley) renewed his call today to extend the deadline for seniors to sign up for the new Medicare Part D drug benefit. Beneficiaries have until Monday, May 15 to sign up for the plan or face lifetime penalties for failing to do so. Thompson is a cosponsor of H.R. 3860 a bill that would extend the deadline and suspend the penalty for the 2006 calendar year.

Thompson, a member of the Health Subcommittee of the House Ways and Means Committee voted against the Medicare Prscription Drug Benefit in 2003.

“On Monday, most seniors who have not yet signed up for the new Part D benefit will face a significant financial penalty,” Thompson said. “That is unacceptable, especially since this benefit was supposedly created to save seniors money. Right now, seniors in our community are picking and choosing from 48 different drug plans. Too many of them have been overwhelmed by the options and haven't yet signed up. Enrollment has been especially low among our poor. There is extra financial assistance available for low-income seniors, but fewer than 20% of those eligible have signed up.”

Thompson is also the author of H.R. 4737, legislation that would increase funding by $100 million to Medicare State Health Insurance Programs, known in California as HICAPs. These are federally mandated programs that provide Medicare beneficiaries with unbiased information about their coverage options.

Although Thompson is working with his colleagues to extend the Medicare deadline, he encouraged seniors to sign up for the program by Monday. “Inconceivably, repeated bipartisan calls for an extension of the Medicare Part D deadline are falling on the Administration's deaf ears,” he said. “And, as a result, in just four days, most seniors who have not yet signed up for Part D will be penalized for life. We can't trust the Administration to do what's right and extend the deadline so seniors should make every attempt to sign up.”

Without a change to federal law, seniors who do not sign up for the drug benefit and who do not currently have "creditable" coverage will face a lifetime penalty should they sign up later. For every month between May 2006 and their eventual sign-up date, an additional 1% will be added to their monthly premiums. To find out if you have creditable coverage, call a Medicare representative at 1-800-MEDICARE. To receive help in choosing a plan, speak with a Health Insurance Counseling and Assistance Program (HICAP) representative at 1-800-434-0222. You can also visit the Medicare website www.medicare.gov.