Yesterday, the latest Congressional Budget Office (CBO) report was released examining projected long-term federal spending, including that of Medicare. Estimated Medicare spending will be considerably lower in the coming years — to the tune of approximately $95 billion for Medicare’s 2019 budget when compared to what was initially projected in 2010.
One area of continued success – both in high beneficiary satisfaction and keeping costs low – is Medicare’s prescription drug benefit or Part D. As we’ve reported on The Catalyst in recent weeks, spending on the Medicare Part D program, in particular, has been much lower than initially anticipated. A separate report by CBO in late-July found that net federal spending in 2013 came in at $50 billion as compared to the $99 billion initially projected when the program was enacted by Congress.
At the same time, premiums remain stable with the average premium for 2015 is expected to be $32 per month, a $1 increase over 2014, demonstrating the value of choice and competition in the program.
Beneficiaries continue to be highly satisfied with Medicare Part D, while the program’s competitive nature continues to keep costs low, helping them access the medicines they need to live longer, healthier lives.
Allyson Funk Ally is a former senior director of public affairs at PhRMA focused on advocacy issues for the biopharmaceutical industry. Her expertise includes Medicare, Medicaid, 340B, health reform and more. Prior to PhRMA, her experience included leading health communications for a large membership organization, supporting public affairs clients and working for the governor of Louisiana.