CYPRESS, Calif., Aug. 9 /PRNewswire-FirstCall/ -- The following is a statement from Howard Phanstiel, chairman and chief executive officer of PacifiCare Health Systems Inc. , in response to the Centers for Medicare & Medicaid Services' (CMS) release today of average Medicare drug premium costs:
"PacifiCare is pleased with the Centers for Medicare & Medicaid Services' announcement today, which predicted that seniors who enroll in a standalone Part D prescription drug plan for 2006 will enjoy lower-than- anticipated monthly premiums. Also, we are encouraged by CMS's findings that the cost of the government Medicare drug subsidy is expected to be 14-percent lower than previous estimates. "We're excited about the opportunity to participate nationally in the Part D program and feel that PacifiCare has competitive product offerings in all regions. We appreciate CMS's Herculean efforts to implement this historic legislation. CMS has clearly managed a process that encourages private-sector creativity, competition and choice for the nation's seniors. Based upon what we have learned in numerous consumer surveys, we feel that Medicare beneficiaries will appreciate the freedom to make their own prescription drug choices. "PacifiCare believes that, come October when we can announce the details of our Part D prescription drug program, Medicare beneficiaries will find the Prescription Solutions from PacifiCare Part D plans to be affordable and flexible as well as competitive. "We look forward to continuing to work with CMS in the months and years ahead to ensure that America's seniors have a better understanding of their health care options with the freedom to choose a prescription drug plan that meets their individual needs."
According to CMS, as a result of the average of actual bids submitted by standalone prescription drug plans and Medicare Advantage plans, Part D prescription drug plans will offer coverage at a lower cost than experts had expected. CMS predicted that, when prescription drug coverage begins Jan. 1, 2006, it will have an average monthly premium of $32.20 -- about $5 less per month than previously estimated.
In June, PacifiCare, one of the nation's largest providers of Medicare Advantage health plans and health care services for seniors, affirmed its intent to participate nationwide in the Medicare Part D prescription drug program. The company submitted to CMS bids to offer standalone prescription drug plans nationwide -- in all 34 regions established by CMS -- to beneficiaries enrolled in standard, fee-for-service Medicare. Importantly, PacifiCare also filed multiple plan designs in each region to address seniors' varying needs and preferences.
PacifiCare also filed Medicare Advantage Prescription Drug (MAPD) plans in all its current markets in order to better meet the needs of its more than 720,000 members already enrolled in its Secure Horizons Medicare Advantage plans.
PacifiCare expects to announce Part D plan details such as pricing, benefits, coverage and availability and begin marketing the new plans in October.
Since passage of the Medicare Prescription Drug, Improvement and Modernization Act in December 2003, PacifiCare has enhanced benefits and reduced premiums and copayments for its Medicare Advantage members and has also expanded the plan into 23 new counties. In addition, in July PacifiCare announced that it has launched new Medicare Advantage private fee-for-service plans in more than 800 counties in 16 states.
About PacifiCare
PacifiCare Health Systems is one of the nation's largest consumer health organizations with nearly 3.3 million health plan members and approximately 11.3 million specialty plan members nationwide. PacifiCare offers individuals, employers and Medicare beneficiaries a variety of consumer-driven health care and life insurance products. Specialty plan operations include behavioral health, dental and vision, and complete pharmacy benefit management through its wholly owned subsidiary, Prescription Solutions. More information on PacifiCare Health Systems is available at www.pacificare.com.
PacifiCare Health Systems Inc.CONTACT: Tyler Mason of PHS Media Relations, +1-714-226-3530,tyler.mason@phs.com, for PacifiCare Health Systems Inc.
Web site: http://www.pacificare.com/
