Performance Improvement 2009. Do Participants in the Prescription Drug Payment Demonstration Provide More Generous and Varied Benefit Packages?


This study analyzed the impact of the prescription drug payment (Part D) demonstration on beneficiaries, sponsors and Medicare program costs. The 5-year demonstration extends from 2006 through 2011 and allows Part D plans to choose from among three main alternative payment methods for re-insurance: fixed capitation, flexible capitation, and Medicare Advantage rebate. Many enhanced benefit plans exist outside the reinsurance demonstration. Even without the reinsurance demonstration, there would be variety in enhanced benefit plans, including plans that provide gap coverage.

Demonstration plans were consistently more generous than basic plans and enhanced non-demonstration plans.

Report Title: Part D Reinsurance Demonstration Plan Benefit Design Analysis; Report may be obtained from Federal Contact
Agency Sponsor: CMS-ORDI, Office of Research, Development, and Information
Federal Contact: Aman Bhandari, 410-786-2313
Performer: Research Triangle Institute
PIC ID: 9012

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"PerformanceImprovement2009.pdf" (pdf, 1.26Mb)

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