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  Answer ID  
3175
  Topic  
Drugs
  Drug Card
  Category  
Medicare Modernization Act
  $600 Credit
  Medicaid
  Date Created  
07/16/2004 05:22 PM
  Date Updated  
07/19/2004 02:44 PM

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  If an individual gets the $600 credit from Medicare and later becomes eligible for Medicaid, does he/she lose the $600 credit?
  Question
  If an individual gets the $600 credit from Medicare and later becomes eligible for Medicaid, does he/she lose the $600 credit?
  Answer
  No, individuals who become eligible for Medicaid after receiving the $600 credit will not lose the credit. In this case, Medicaid becomes the primary payer for drugs covered by Medicaid. The individual can save whatever remains of the $600 credit to use in the future should he lose Medicaid benefits (or to use for drugs that are not covered by Medicaid), up until the time that outpatient drug coverage becomes available from the new Medicare Prescription Drug Plans.

Further guidance on this point will be forthcoming regarding those beneficiaries who access their $600 credit through the specially-endorsed Medicare-approved discount drug cards participating with long term care facility pharmacies and with Indian Health Service, Tribes and Tribal Organizations, and Urban Indian Organization pharmacies. All these drug card sponsors are not yet fully underway.
 
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