[Oct 12, 2006]
The lowest retail prices for six common medications at pharmacies in Broward County, Fla., at least 80% of the time are lower than the prices Medicare beneficiaries would pay in the so-called "doughnut hole" coverage gap of the prescription drug benefit, according to a study released on Tuesday by Consumers Union, the Tallahassee Democrat reports (Price, Tallahassee Democrat, 10/11). Under the doughnut hole, Medicare beneficiaries are responsible for 100% of annual prescription drug costs between $2,250 and $5,100. Medicare covers 95% of annual prescription drug costs that exceed $5,100 (Kaiser Daily Health Policy Report, 10/3). For the study, researchers in August examined retail prices for Lipitor, Toprol, Synthroid, Norvasc, Zoloft and Hydrocodone at 261 pharmacies in the county. Researchers compared the retail prices with those Medicare beneficiaries would pay in the doughnut hole under the 44 prescription drug plans available in the county (Hatcher, Miami Herald, 10/11). According to the study, the retail prices in some cases were 10% lower than those Medicare beneficiaries would pay in the doughnut hole (LaMendola, South Florida Sun-Sentinel, 10/11). In addition, researchers compared the prices that Medicare beneficiaries would pay in the doughnut hole with those paid by the Department of Veterans Affairs. The prices VA paid for the six medications on average were 54% lower than those Medicare beneficiaries in the doughnut hole would pay, the study finds (Miami Herald, 10/11).