Phil Gingrey: “Well, as usual, the gentleman is right on target. And I think it is important that we remember that the plan, typically…”

“Well, as usual, the gentleman is right on target. And I think it is important that we remember that the plan, typically, if I could describe a typical plan for the typical senior, would be about a $30 a month premium, would be a $250 deductible, would be a 25 percent copay, that is, the senior has to pay 25 percent of the cost of the prescription drugs after the 250 out of pocket, up to a total of $2,250. Then there is this issue of the hole in the doughnut, or the gap, where any cost above $2,250, up to about $5,100, is 100 percent on the back of the senior. A lot of people have been concerned about that. They tend to forget, though, that above that you have this catastrophic coverage. If you have spent in any one year on Medicare part D prescription drugs, if you have spent more than $3,600 out of your pocket, then anything above that is covered at the 95 percent level. And, really, there are situations like that. Maybe for some seniors today before they sign up for this program, they already know that they are spending $3,600 or more, maybe $6,000 a year on prescription drugs. Now, they very well may want to choose a plan. This slide that I have in front of me now sort of goes over that, talks about the premium and the deductible and the gap in the coverage. Well, seniors can choose.…”