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From the Area Agency on Aging in Southfield, Michigan:

Help Available to Reduce Some Medicare Costs

Medicare costs can quickly add up, and many seniors struggle to keep up with monthly premiums, deductibles and prescription co-pays. However, there is help for Medicare beneficiaries, on limited incomes, to help pay for these costs and effective January 1, 2010 the federal government has made it easier to qualify for these programs by increasing the amount of savings an individual can have.

Two programs, Extra Help and Medicare Savings Programs, are designed to assist with Medicare Part D costs and the monthly Part B premium cost. The Area Agency on Aging 1-B's Medicare and Medicaid Program (MMAP) has set up a special service to help people determine if they are eligible and assist them with the application process.

"Many people may not be aware of these programs, or, for some reason, haven't applied," explained Jennifer Houghton, Access and Benefits Manager for the Area Agency on Aging 1-B (AAA 1-B). Houghton noted that a quick phone call to the AAA 1-B MMAP program can help people determine if they are eligible. "The process is pretty painless," said Houghton. "We ask you a few questions and can usually determine if you are eligible right there on the phone. It typically takes less than 10 minutes. And we are a nonprofit organization, so there is no charge for the service."

The Extra Help Program helps with Part D costs
The Extra Help Program can greatly reduce your prescription drug costs. It is available to people who are enrolled in or eligible to join a Medicare Part D plan and have limited income and resources. It can help reduce both monthly premiums and annual deductibles, and in some case, may eliminate the coverage gap or "doughnut hole." The amount of help you receive will depend on the Part D plan you are enrolled in and your exact income and assets.

The Medicare Savings Plans helps with Part B costs
Another program, the Medicare Savings Program (MSP), helps beneficiaries pay for their Medicare Part B premiums, co-pays and deductibles. Just as with the Extra Help Program, your assets and income will determine the exact level of assistance you qualify for, but you could receive:

• Help paying some or all of your monthly Medicare premium
• Help paying some or all of your annual Medicare Part B deductible
• Up to 20% of the approved costs that you would usually have to pay out of pocket after reaching your Part B deductible

Houghton noted that it might be worth looking into these programs again if you have not qualified in the past. Income and asset requirements for the program change periodically, and changes have been proposed that may soon lower income and asset levels and make these programs available to more people.

For more information and help with completing the required applications, call the AAA 1-B's Medicare Medicaid Assistance Program (MMAP) at 800-803-7174. A Benefits Eligibility calculator is also available on the AAA 1-B website to help determine if you may qualify. It only takes a few minutes and you don't have to give any personal information. It is located under the Medicare and Medicaid tab at www.aaa1b.org.