Feds to reimburse states for Part D

January 30, 2006

The federal government will reimburse states for costs they incurred in paying drug claims that should have been covered by the Medicare Part D program. CMS also said the Bush Administration will pressure Part D plans to reimburse states for the cost of claims that the insurers should have paid. The federal government will pay states the difference between what they actually paid for the drugs and what the Rx plans allow, as well as the administrative costs of running stop-gap programs. The federal reimbursement ends on Feb. 15.

The federal government will reimburse states for costs they incurred in paying drug claims that should have been covered by the Medicare Part D program. CMS also said the Bush Administration will pressure Part D plans to reimburse states for the cost of claims that the insurers should have paid. The federal government will pay states the difference between what they actually paid for the drugs and what the Rx plans allow, as well as the administrative costs of running stop-gap programs. The federal reimbursement ends on Feb. 15.