The agency that runs medicare is looking for 50,000 seniors to participate in a demonstration program that will mirror the Part D prescription-drug benefit slated to begin in 2006.

The program will focus on seniors with chronic and life-threatening diseases -- such as rheumatoid arthritis, multiple sclerosis, pulmonary hypertension and a variety of cancers -- who are receiving drugs in a doctor's office that could be administered at home. To qualify, you must not have any drug coverage other than from a medigap policy or Medicare Advantage plan, and your physician must certify that you need a covered drug. Applications will be accepted through September 30, 2004, and participants will be selected at random.

Some seniors could potentially save thousands of dollars by participating. However, depending on the cost of the drug you need and the type of medigap coverage you have, you might be better off skipping the program, says Deane Beebe of the Medicare Rights Center. The most generous medigap plans pick up nearly all of the co-pays and deductibles for drugs administered in a doctor's office (which are covered under Part B), while the new Part D drug benefit covers 75% of the first $2,250 in costs, after an annual deductible of $250. There's no coverage for expenses between $2,250 and $5,100; the new Part D will pick up 95% after that.

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