After years of relative consumer inertia in the Medicare drug benefit plan selection process, the economy
created the first real test of Medicare drug plans' stickiness. Would seniors stay loyal to their last drug plan choice, or would they be more willing to shop around to chase savings?
New data released today by Avalere Health shows that 1 of every 3, or more than 9 million, Medicare beneficiaries has picked a Medicare Advantage plan with prescription drug coverage (MA-PD plans) as their way to access medications. Growth in MA-PDs far outpaced enrollment in standalone drug plan, or PDPs, for 2009. MA-PDs; picked up about 730,000 people relative to mid-2008 levels, while total enrollment in standalone prescription drug plans, or PDPs, increased by about 140,000 individuals over the same period.
How to explain MA-PDs newfound popularity? It's the economy, of course.