Baldwin Announces "Donut Hole" Checks In the Mail to Many WI Seniors

Press Release

Congresswoman Tammy Baldwin announced that Medicare has begun mailing out $250 "donut hole" checks to seniors in Wisconsin and throughout the country. Under the recently enacted health reform law, seniors who fall in the donut hole coverage gap in 2010 will receive this one-time, tax-free $250 rebate check. Checks will continue to be mailed to seniors who enter the coverage gap.

The donut hole coverage gap is the period in the Medicare Part D prescription drug program in which, after beneficiaries' prescription drug costs exceed $2,830, they pay 100 percent of the cost until they hit the catastrophic coverage threshold. Congresswoman Baldwin opposed the donut hole when it was introduced by the previous Administration.

"These checks are the first step in reducing prescription drug costs for seniors and eventually closing the donut hole altogether," said Congresswoman Baldwin. "This is the first of many benefits of health care reform that will strengthen Medicare and help Wisconsin seniors," Baldwin said.

Beginning in January 2011, seniors in the donut hole will receive a 50% discount on brand name prescription drugs. By 2020, the donut hole will be completely closed.

Last year, roughly 74,400 Medicare beneficiaries in Wisconsin fell in the donut hole and received no extra help to defray the cost of their prescription drugs.

Medicare recipients don't have to do anything to get the $250 check. Once their drug costs for the year hit $2,830, the one-time check will be issued automatically.

Congresswoman Baldwin warns seniors to be on the lookout for fraud. Scam artists are continually trying to obtain money and financial information from vulnerable seniors. These payments present new opportunities for exploitation. Checks will be mailed in envelopes with the Department of Health and Human Services (HHS) logo clearly displayed. Congresswoman Baldwin has introduced bipartisan legislation to crack down on telemarketing, mail, and Internet fraud aimed at senior citizens.

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