The US federal government has been pushing for the Medicare Part D among elders as it has been found to greatly reduce out-of-pocket costs for consumers.
Ever since it was implemented last January 2006, many have said that a Medicare plan is too expensive. Even President Obama had the same conclusion from Monday night’s speech.
But a new study is now saying that this is not the case because the benefits have caused patients to spend less time in hospitals because having the plan encouraged them to regularly have check-ups and buy prescriptions.
This study involved two groups – the first one had generous coverage, while the second, had limited coverage. The research tracked the two group’s health care spending from 2004 through 2007. It was found that almost 3,500 patients with limited coverage spent about 10 percent less, or about $1,200 each, than expected on annual non-drug related medical care after 2006.