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Medicare Catastrophic Coverage Act of 1988.

R B Greenberg¹

¹American Society of Hospital Pharmacists, Bethesda, MD 20814.

American Journal of Hospital Pharmacy

|December 1, 1988

Summary

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The Medicare Catastrophic Coverage Act of 1988 expands benefits for Medicare beneficiaries, including outpatient prescription services. This legislation offers opportunities for improved patient care through pharmaceutical services.

Area of Science:

Health Policy
Pharmacy Practice
Medicare

Background:

The Medicare Catastrophic Coverage Act of 1988 (MCCA) was enacted to expand benefits for Medicare beneficiaries.
The Act introduced significant changes to Medicare Parts A and B, affecting various healthcare services.

Purpose of the Study:

To describe the provisions of the Medicare Catastrophic Coverage Act of 1988.
To discuss the implications of the Act for the pharmacy profession and patient care.

Main Methods:

Review and description of the Medicare Catastrophic Coverage Act of 1988 legislation.
Analysis of the benefits and financing mechanisms outlined in the Act.
Discussion of the impact on pharmacy services and patient care.

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Main Results:

The Act introduced benefits such as unlimited inpatient days, improved hospice and skilled-nursing care, limits on out-of-pocket expenses, enhanced home care, and an outpatient prescription drug benefit.
Financing for the expanded benefits is through a supplemental premium for Part A eligible individuals.
Long-term care was not addressed, and expanded extended-care benefits are limited to acute illnesses.

Conclusions:

The outpatient prescription benefit includes payment for both drug products and professional pharmacy services.
The pharmacy profession has an opportunity to collaborate with the Department of Health and Human Services to ensure improved patient care through effective pharmaceutical services under the new Act.