Cost of Medicare’s Part D drug plan is dropping
“Popular with beneficiaries, the program has also proven far less costly than budget analysts originally expected, in part because of competition among private plans and the growing use of less expensive generic drugs.
In 2012, the average Part D plan will charge seniors about $30 a month, the Department of Health and Human Services said.
That’s down from $30.76 in 2011 and would mark the second time average premiums have declined since the drug benefit was initiated in 2006.
By comparison, overall healthcare spending in the U.S. is expected to grow by nearly 5% a year between now and 2014, according to the latest estimates by government actuaries. Premiums on many private medical insurance policies are rising even more sharply.”
http://articles.latimes.com/2011/aug/05/nation/la-na-medicare-benefits-20110805
I bet it is.
What they don’t tell you is that the premiums only pay for 25% of the actual costs of the program. The other 75% comes from the General Fund, i.e., the taxpayers. The same also holds true for Medicare Part B.