How are changes in prescription drug coverage affecting utilization and prices?
Our analysis has observed a dramatic shift in drug coverage over the past decade from indemnity coverage to third-party coverage at the point of sale managed by pharmacy benefit managers. A better understanding is needed of the effects of this shift, especially on those lacking drug coverage. • How do Medicare+Choice plans manage their prescription drug benefits? Can their experiences help us to better understand drug utilization by the elderly and improve the quality of care they receive? The Health Care Financing Administration(now known as Centers for Medicare and Medicaid Services(CMS)) (HCFA(now known as CMS)) has initiated research to study the way in which Medicare+Choice plans currently administer their drug benefits. The aim of the project is to uncover best management practices with regard to improving outcomes, avoiding drug interactions, encouraging appropriate prescribing patterns, and educating beneficiaries about the medications they take. • How prevalent is underinsuran
