How Low Might Medicare's Drug Payout Go?

By upholding the health-care overhaul, the Supreme Court keeps on track plans to eliminate a gap in Medicare’s Part D prescription-drug benefit, a popular provision among patients. Does the decision also set a course toward cutting what Medicare itself pays for drugs?

The so-called doughnut hole — designed to reduce the government’s spending on the benefit — has been tough on many seniors. This year, it requires them to pay the costs of their prescriptions when the tab comes in between $2,930 and $6,658. Above that, catastrophic insurance coverage kicks in, and patients typically pay just 5% of their drug costs.

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Source: The Wall Street Journal