POLICY POSITION

MISSOURI ASSOCIATION OF AREA AGENCIES ON AGING (MA4)

Reauthorization of MoRX Program

The Missouri Association of Area Agencies on Aging (ma4) strongly supports reauthorization of MoRx, Missouri’s State Pharmacy Assistance program.

Access to affordable prescription drugs is key in disease prevention and chronic disease management. In turn, chronic disease management is fundamental in keeping seniors in their homes and communities and improving their quality of life. By keeping seniors healthy we can help prevent unnecessary and costly nursing home care, which on average costs $138 per day. Proper disease management helps keep healthcare costs down in general by helping seniors avoid more expensive hospitalization and surgery.

Prescription drugs account for approximately one-sixth of all health spending by seniors, and out-of-pocket spending for prescription drugs is a larger proportion of health expenses for seniors than for younger people. Missouri’s seniors need this program, as the median household income for our seniors is $27,000 annually.

In 2003 the U.S. Congress passed the Medicare Prescription Drug Modernization Act and Missouri’s General Assembly thereafter passed SB539, which restructured Missouri’s Pharmacy Assistance Program from the SeniorRx Program, which was operating at the time.

The MoRx Program was implemented in 2006 and since then, over 206,000 seniors have received assistance. The program receives 20% of its funding from pharmaceutical rebates and 80% from the tobacco settlement fund.

A senior must join a Medicare Part D prescription drug plan before being able to enroll in MoRx. MoRx works with Part D plans to lower out-of-pocket expenses eligible seniors and individuals with disabilities pay for prescription drugs. The program pays 50% of all out-of-pocket costs for medications covered by a senior’s Medicare Part D plan, including the cost of the deductible and co-payments. MoRx continues to provide benefits when seniors are in the Medicare Part D coverage gap (the “donut hole”). MoRx is open to: a Missouri resident enrolled in Medicare Part D; single Missourians with an annual gross income of $2`1,660 or less or married with an annual gross income of $29,140 or less; and Missouri residents who qualify for both Medicare and Medicaid (dual eligible).

This year, the Missouri legislature will decide if MoRx will continue for the next five years. MA4 strongly supports the continuation of the Missouri Rx program and firmly believes that it is one of the most important pieces of legislation that will be considered by the Missouri General Assembly this year. We believe that the continuation of MoRx will save lives, and lead to an improved health picture for low-income and disabled seniors throughout the state