Impact of the MMA on Employer-Sponsored Retiree Prescription Drug Benefits.

EMPLOYEE benefits; VOLUNTARY employees' beneficiary associations; HEALTH insurance; HEALTH systems agencies; NATIONAL health insurance; HEALTH policy

The article discusses the role of the Medicare Prescription Drug, Improvement, and Modernization Act (MMA) on employer-sponsored retiree prescription drug benefits in the U.S. The MMA offers employers several options with accompanying incentives in order to retain retiree prescription drug coverage. The MMA, in addition, to its measures to aid employers to pay for current retiree prescription drug benefits, also created HSAs in order to help employers pay for future retiree health benefit costs. In the future, more employers may choose to utilize alternative funding mechanisms for retiree prescription drug benefits, such as a Voluntary Employee Beneficiary Association.