Protect access to prescription medications for marginalized seniors

America's poorest seniors may soon find it much harder to get the medications they need.

That's because Medicare's Low-Income Subsidy program, which provides millions of seniors with prescription drug coverage without a monthly premium, is dwindling. And recent changes to the Inflation Reduction Act are partly to blame.

The number of “benchmark” LIS plans – which offer coverage without a monthly premium – has plummeted by 34% in the last year alone. Due to some plans being discontinued or their monthly premiums increasing, over 1.3 million seniors have been reassigned to another plan by the Centers for Medicare & Medicaid Services (CMS). Many other seniors have had no choice but to opt for more expensive alternative plans that require monthly premiums, jeopardizing their access to life-saving medications — or reduce spending on other necessities like food and rent.

The Low-Income Subsidy Program is a lifeline for approximately 13 million Americans.

Low-income seniors are disproportionately affected by chronic health problems such as diabetes and heart disease. Whether they can afford prescriptions can therefore be a matter of life and death.

Only seniors whose annual income is less than 150% of the federal poverty level — about $22,500 for a single person or $30,500 for a couple — qualify for the program.

According to the numbers, communities of color are particularly reliant on these subsidies.

Black and Hispanic beneficiaries together make up only 20% of Medicare drug plan enrollees. But in the grant program, Black and Hispanic beneficiaries overall make up 37% of participants.

At the same time, minority seniors tend to experience more negative health outcomes compared to their English counterparts. The data shows that Black and Hispanic Medicare enrollees have higher hospitalization rates and an increased risk of suffering from chronic conditions such as high blood pressure.

That's what makes the sharp decline in Medicare subsidy plans for low-income earners so alarming. The decline is due in part to changes made to the Part D program of the Inflation Reduction Act.

Those eligible for subsidies with low incomes increasingly have to resort to tariffs with higher premiums.

The number of people who now have to pay premiums has increased by more than a million since last year alone.

The financial burden on seniors varies depending on the federal state. To give two examples, premiums for Medicare drug plans in the low-income subsidy group can exceed $155 in West Virginia and Pennsylvania.

Equally concerning is the fact that premiums for all Medicare prescription drug plans are rising. By the end of this year, average monthly premiums are expected to increase by at least 21%.

It's a worrying situation. Without quick action from CMS and Congress, America's poorest seniors risk losing access to the medications they need to live healthy lives.

Dr. Yanira Cruz is President and CEO of the National Hispanic Council on Aging. This article originally appeared in Medical Economics.