A newly released independent analysis of the Medicare-approved drug discount cards has found that average seniors participating in the new program will save over $1,200, on average, for their prescription drug purchases ЁC before the full Medicare drug benefit goes into effect in 2006.

The new study examined 150 prescription drugs used most often by those on Medicare, and found that many of the cards saving nearly 20 percent off the retail price of drugs. The report was conducted by the The Lewin Group, a nonpartisan nationally recognized economic analysis company.

This new report comes on the heels of other recent reviews — by the Kaiser Family Foundation, the American Enterprise Institute and Medicare — which have also documented the cost savings seniors are achieving.

“Despite some of the unfortunate misinformation going around, this new report, and others like it, show that seniors who don’t sign up for the Medicare approved drug discount cards are leaving money on the table. I again encourage seniors who need help to check out what is available,” said Sen. Larry Craig, Chairman of the U.S. Senate Special Committee on Aging.

The savings vary depending on the state you live in and which card you sign up for. In Craig’s home state of Idaho, for example, a typical senior will spend $3,444 on prescription medications during the eighteen month period before the full Medicare program goes into effect in January of 2006. During that time, the new study found that an Idaho senior with a Medicare-approved discount drug card could save $1,057.

Researchers said that low-income seniors would save the most money because they would receive $600 federal low-income credit to help them purchase their medications and be eligible for additional drug company help if and when their $600 in assistance has been spent. Under the new benefit program, low-income seniors who qualify will receive $600 in 2004 and another $600 in 2005 to help buy medications.

“Those that need help with their prescriptions should call 1-800-MEDICARE to find out how they can get the discount card that will best meet their needs. Telephone lines are open 24 hours a day, seven days a week. Over 3000 people are now available to answer your call, and waiting times are down to two minutes,” Craig said.

Before you call 1-800-MEDICARE (1-800- 633-4227), Sen. Craig advises that you:

* Have with you a list of the names of the drugs you take, the size, and how often you take them.

* Know your total monthly income — you may qualify for the $600 per year in low income assistance. Your recent income statements or tax forms may be helpful in figuring out your monthly income.

The temporary Medicare-approved drug discount program will be replaced in 2006 when the full benefit goes into effect. Starting in 2006, about one in four seniors on Medicare will have a federal subsidy of 96-98 percent to cover their drug costs. Two out of every three seniors already have drug coverage from other sources which they can keep when the new program goes into effect.

Sign up to receive your own news THE CHAIRMAN OF THE U.S. SENATE SPECIAL COMMITTEE ON AGING.

From the US Senate Special Committee on Aging