Changes to Pharmacare Next Year
Changes to the Nova Scotia Seniors' Pharmacare Program, effective as of April 1, will make 7,000 more low-income seniors eligible for an exemption or reduction in premium. Health Minister Jamie Muir also announced a premium increase for higher-income seniors today in response to rising program costs.
The co-payment for all seniors remains the same.
"Pharmacare is an important program for seniors, and we want to do everything we can to protect it. This is the first time that the premium has changed since 1995, while drug costs continue to be the fastest-growing health expenditure across the country, at about 10 per cent each year," said Mr. Muir. "We have also made changes to allow more low-income seniors to be eligible for a premium exemption or reduction."
To help more low-income seniors manage their drug costs, the income levels at which married and single seniors qualify for premium reductions or exemptions have been increased. Starting April 1, married seniors with a family income of up to $28,000 and single seniors with an income of up to $24,000 will qualify for assistance.
Currently, 95,000 seniors belong to the Pharmacare program. Next year, about 48,000 seniors will not pay a premium.
The new premium will be $28 a month or $336 for the year, up from $215. Even with this change, the province's contribution to the drug plan will increase by $5 million to $87.5 million in 2002- 03. Seniors will pay $37 million. Payment options for seniors will continue to include monthly or quarterly installments or one lump sum.
In 1995, when the Pharmacare premium was first introduced, Pharmacare was to be cost-shared between government and seniors at a 50/50 split. Changes for 2002-03 will see government pay 70 per cent and seniors pay 30 per cent.
It is expected that the Pharmacare Program will cost $125 million in 2002-03, compared with the estimated cost for this year of $113.5 million. It cost just over $82 million in 1995-96.
"I would like to thank the seniors' groups who meet with staff on an ongoing basis to discuss the long-term viability of the Pharmacare Program," said Mr. Muir. "We were pleased to accept their recommendation of adjusting the income threshold to help an additional 7,000 low income seniors."
"The Group of Nine is very pleased that our most important recommendation was accepted by the Minister of Health and that effective April 1, 7,000 low-income seniors in Nova Scotia will now be eligible for a premium exemption or reduction," said Mr Omer Blinn, chair of the Group of Nine -- a group of senior organizations representing about 120,000 seniors across the province.
Nova Scotia's Pharmacare Program remains one of the most generous in the country. New Brunswick just increased their yearly premium payment to $1,068. This is in addition to $15 per prescription with no yearly maximum. Newfoundland and Labrador provides coverage only for their low-income seniors.
Pharmacare is a provincial drug insurance program available to seniors who are 65 years of age or older and who do not have other drug coverage.
The yearly renewal packages for Pharmacare will be sent to seniors this week. Seniors with questions about the program changes can call Pharmacare at 1-800-544-6191 or, for metro-area calls, 429-6565.