Health News

Nov 27, 2011 10:55 AM by Matt Stafford

Medicare's drug coverage "doughnut hole" shrinking

WASHINGTON (AP) - Medicare's prescription coverage gap is getting smaller and easier to manage this year for millions of older and disabled people with high drug costs.

That gap - known as the "doughnut hole" - will shrink about 40 percent for those unlucky enough to land in it this year. That's according to new Medicare figures in response to a request from The Associated Press.

The savings are thanks to discounts and other provisions in President Barack Obama's health care overhaul law.

It's roughly the difference between $1,500 without the law and $900 after the savings.

More than 2 million beneficiaries already have gotten some help.

But it's unclear if the discounts will overcome older people's skepticism about the law, which cut Medicare to expand coverage for the uninsured.


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