A healthy Medicare drug plan
AMID THE SHRILL CRIES that the sky is falling on senior citizens comes news on how Medicare beneficiaries view their new prescription drug benefit. According to two recent surveys, conducted on behalf of America's Health Insurance Plans, of more than 800 randomly selected seniors enrolled in the Medicare drug benefit, 84 percent who signed up voluntarily experienced no problems enrolling; two-thirds say the benefits are worth the time and effort to evaluate their options and plans; 59 percent of self-enrolled seniors say they are saving money; and 90 percent of beneficiaries who were automatically enrolled, most of whom are poor, have had few problems getting their prescriptions.
The new Medicare prescription drug benefit is delivering on its promise of more choices at lower cost. But instead of championing the program's success, critics are desperate to find problems with what House Democratic leader Nancy Pelosi describes as ''this disastrous Republican Medicare prescription drug plan." With an overwhelming majority of seniors happy with their coverage, partisan critics have a new doomsday prophecy, the April 1 deadline when private insurers can stop paying for prescription drugs not on their formularies. Seniors are getting the medicines they need, and will continue to get them. Every plan is required to cover all medically necessary prescriptions. This means that a wide range of drugs, from chemotherapy drugs to antidepressants, will not be affected by the deadline. Plans also have extensive formularies that cover nearly all of the most commonly-prescribed medicines. For those medicines not covered, seniors can work with their physicians to find a generic equivalent or they can apply for an extension or exception and have an answer within 72 hours. No senior will go without the medicines their doctors prescribe -- and the majority of the costs for these drugs will be covered by Medicare.
Competition is driving down prices.
First, Medicare must effectively engage its beneficiaries in their health and healthcare through consumer-centric health plans. Tax-friendly accounts, like Health Savings Accounts, have had a dramatic impact in private sector healthcare in just two years. When consumers directly control their healthcare dollars, they are wiser purchasers and still get the care they need. Seniors deserve the same opportunities -- and benefits -- that more than 4 million other Americans now enjoy.
Second, to become wise consumers, individuals need information about the healthcare products and services they will purchase. Medicare will soon post the prices it pays for common medical procedures. But Medicare beneficiaries -- and all other healthcare consumers -- have the right to know not only the cost but also the quality of the physicians and hospitals they depend upon.
Third, Medicare should reimburse physicians, hospitals, and other providers based on the quality of care they deliver. In the current system, if patients are healthy, they don't see their doctors; and if they don't see their doctors, their doctors don't get paid. This perverse approach must change.
Last, Medicare must make health information technology an essential part of the program. Providers will deliver better quality care with technology, and health information technology will also empower consumers to manage their health better and more easily find cost and quality information.
These solutions will improve individual health, reduce costs, and build a brighter future for all Americans.
Former House speaker Newt Gingrich is founder of the Center for Health Transformation. David Merritt is a project director at the Center. America's Health Insurance Plans is a member of the Center. 
