Yet another CMS screw-up on Part D

August 23, 2006

Don’t cash that check. The federal government has erroneously reimbursed about 230,000 Medicare recipients for monthly premiums they paid this year for prescription drug coverage. For many, the checks — totaling nearly $50 million — have already arrived.

The refund will undoubtedly cause confusion, particularly because it comes with a letter that mistakenly instructs seniors that their monthly premiums will no longer be deducted from their Social Security check.

“It’s very important for people to know their coverage is continuing,” he said. “There’s no disruption at all.”