Simple change to Medicare Part D would yield $5 billion in savings

Tuesday, June 3, 2014 - 06:01 in Earth & Climate

The federal government could save over $5 billion in the first year by changing the way it assigns Part D plans for Medicare beneficiaries eligible for low-income subsidies, according to experts. Medicare Part D provides assistance to beneficiaries below 150 percent of the federal poverty level. In 2013, an estimated 10 million beneficiaries received subsidies, and 75 percent of the total Part D federal spending of $60 billion is for low-income enrollees.

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