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Medicare's Drug Plan Has Cut Health Care Costs Wed Jul 27, 2011 4:08 am
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Medicare's Drug Plan Has Cut Health Care Costs


July 26, 2011 -- Non-drug-related health care costs have been reduced for elderly patients who gained better prescription drug coverage under Medicare Part D, according to a new study.

Researchers found non-drug health care costs have decreased by nearly 4%, or an average of about $306 per quarter, among elderly Medicare beneficiaries who had limited drug coverage prior to implementation of Medicare Part D in January 2006 and now receive more generous prescription drug benefits through the government program.

Most of those health care cost savings were thanks to reduced inpatient and skilled nursing facility care spending, but reductions in costs were also seen in doctor visits.

The study is published in The Journal of the American Medical Association.

"In concert with previous studies, these findings suggest that increased medication use and adherence achieved through expanded drug coverage for seniors have been associated with decreased spending for non-drug medical care," write researcher J. Michael McWilliams, MD, PhD, of Harvard Medical School and Brigham and Women's Hospital in Boston, and colleagues.

http://www.webmd.com/medicare/news/20110726/medicares-drug-plan-has-cut-health-care-costs?src=RSS_PUBLIC
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Medicare's Drug Plan Has Cut Health Care Costs Wed Jul 27, 2011 4:08 am
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