AARP Says Half Of Elderly Lack Drug Coverage

WASHINGTON Nearly half of all older Americans did not have aninsurance plan that covered prescription drugs in 1991, according toa report released Monday by the American Association of RetiredPersons.

The report also found that the oldest and poorest of the elderlyare the most likely to be without any drug coverage. The studyoffers several options for paying much of these prescription costs.

"AARP has long been concerned about the general lack ofprescription drug coverage," said Esther Canja, an AARP board member,at a press conference here to release the study. "Medicare provideshealth coverage for elderly Americans, but doesn't provide anycoverage for the medicines they need."

About 85 percent of senior citizens use at least oneprescription drug during the year, and per-person spending on drugsby the elderly in 1991 was about $500, although some older peoplespent as much as $1,200 on prescription drugs. "The elderly whocannot afford to pay for their medicines out of their own pocketsfrequently receive unnecessary and more expensive care," Canja said.

The report offers four options for paying for older Americans'prescription medications: Paying for prescriptions only for the poorest elderly. Encouraging state payments for drugs with federal grants to assistthe elderly who have incomes too high to qualify for Medicaid. Requiring all "Medigap" policies - which cover medical expenses notcovered by Medicare, at an additional cost to the elderly - to coverprescription drugs. Extending Medicare benefits to include prescription drugs.

These options could become important during the health carereform deliberations in Congress. While under President Clinton'splan prescriptions are covered for all Americans after they pay adeductible and co-payment, other plans under consideration will notnecessarily include coverage for prescription drugs.

John Rother, the AARP's director of legislation and publicpolicy, is optimistic that prescriptions will be covered in the finalhealth bill. He says that "we now have the pharmaceutical industrycalling for the expansion of drug coverage." The issue, according toRother, is how to pay for it.