HHS Approves Waivers Allowing Maryland, South Carolina Medicaid Programs To Cover Seniors’ Drug Costs
HHS on July 30 approved Medicaid waivers for Maryland and South Carolina that will extend prescription drug coverage to more low-income seniors, the Baltimore Sun reports (Barker, Baltimore Sun, 7/31). HHS approved the waivers as part of the Pharmacy Plus program, which President Bush announced in January (HHS release, 7/30). Under the program, states can apply to the federal government for waivers to extend Medicaid coverage for prescription drugs to Medicare beneficiaries with annual incomes up to 200% of the federal poverty level, or $17,720 for an individual and $23,880 for a couple. Michigan and Wisconsin received approval for their programs earlier this year (Kaiser Daily Health Policy Report, 7/8).
Maryland
The Maryland waiver, which will take effect in six to twelve months, will allow the state to extend prescription drug coverage through Medicaid to 90,000 low-income seniors who would not otherwise qualify for coverage. The waiver program will cost the state about $8 million, the Sun reports (Baltimore Sun, 7/31). Under the program, seniors with annual incomes at or below 116% of the federal poverty level, or $10,278 for an individual, will pay a $5 copayment per prescription. Seniors with incomes between 116% and 175% of the federal poverty level, or $15,505 for an individual, will pay 65% co-insurance for their prescriptions. "This creative program from Maryland helps those low-income seniors who are most in need of prescription drug coverage," HHS Secretary Tommy Thompson said (HHS release, 7/30).
South Carolina
The South Carolina waiver will allow the state to provide comprehensive prescription drug coverage for an additional 26,000 seniors under the state's $23.2 million SilveRxCard program, which currently serves about 40,000 seniors with annual incomes up to 175% of the federal poverty level. The waiver will allow the state to extend the program to seniors with annual incomes up to 200% of the federal poverty level. The program requires seniors to pay a $500 annual deductible (Lamb, Knight Ridder/Myrtle Beach Sun News, 7/31). "This new program will mean real progress toward providing prescription drug coverage for those South Carolina seniors most in need," Thompson said (HHS
release, 7/30).
