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GOVERNMENT

Bush proposes prescription discount cards for seniors

The president says the program would give Medicare beneficiaries some help paying for drugs while Congress works on a more comprehensive plan.

By Gina Shaw, amednews correspondent. July 30, 2001.

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Washington -- Seniors could get substantial prescription drug discounts under a new Medicare-endorsed prescription drug discount card program recently unveiled by President Bush.

The government would approve "Medicare Rx" cards, issued by pharmacy benefit managers, who would use the combined purchasing power of Medicare beneficiaries to negotiate discounts with manufacturers and pharmacies.

Five of the nation's largest pharmacy benefits managers have agreed to participate in the plan, which will be coordinated by the Centers for Medicare & Medicaid Services. Those companies are AdvancePCS, Scottsdale, Ariz.; Express Scripts Inc., St. Louis; Caremark Rx Inc., Birmingham, Ala.; Merck-Medco, Franklin Lakes, N.J.; and WellPoint Health Networks Inc., Thousand Oaks, Calif.

This is Bush's second Medicare outpatient prescription drug proposal. The first recommended grants to states to allow them to offer drug programs to beneficiaries. It, too, was billed as an intermediate step that would give beneficiaries some relief while Congress struggled with overall Medicare reform, but the plan failed to gain support in Congress.

The AMA welcomed Bush's new plan, calling it a "positive first step toward improving the program for America's seniors."

"We are especially pleased that the Medicare discount card will bring tangible improvements to seniors quickly. While overall Medicare reform will take time, this card will help seniors get relief now," said AMA President Richard F. Corlin, MD. "Although the Medicare program is among the nation's largest pool of patients, Medicare beneficiaries have not had the benefit of that market clout in buying prescription drugs." [...]

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Copyright 2001 American Medical Association. All rights reserved.