Seniors who received millions of dollars in government refunds for their
Medicare Part D prescription drug premiums will not lose their drug coverage as
a result of the snafu. In addition, thanks to the efforts of a senior advocacy
group, the Centers for Medicare & Medicaid Services (CMS) will no longer be
issuing letters requesting that the money be refunded. The Centers' Web site
has also been updated, revoking the request.
"It's very important for people to know their coverage is continuing," former
CMS Administrator Mark McClellan,MD, PhD, said in a message to quash rumors
that prescription benefits will be suspended for those who mistakenly received
the refunds. "There's no disruption at all."
Because of a government computer glitch, nearly 230,000 Medicare recipients
were sent a total of almost $50 million in refunds for monthly premiums
they paid this year for prescription drug coverage. The individual overpayments
averaged about $215.
The Center for Medicare Advocacy (CMA) Inc, which represents the Gray
Panthers and the Action Alliance of Senior Citizens, filed a lawsuit against
CMS, stating that federal law allows for waiver of recovery when the beneficiary
is not at fault in the overpayment. CMS has responded by deleting the
request from its Web site and ceasing all mailings seeking refunds of the
missent monies. The lawyers for CMA are now trying to get CMS to return
any already-repaid refunds and to inform all recipients of their rights under
federal law to seek waiver of recovery.
For a related story on the Medicare money mix-up, visit ePharmacy Times at
http://www.pharmacytimes.com/articleNewsletter.cfm?ID=3819.