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# All healthcare reform provisions taking effect in 2011
- URL: https://www.foodconsumer.org/healthcare_reform_0101110606/
- Published: 2011-01-03T07:03:00.000Z
- Updated: 2026-09-22T16:03:39.000Z
- Description: Provisions beginning in 2011 give Medicare seniors in the Part D coverage gap a 50 percent discount on brand-name drugs and 7 percent on generics, rising until the gap closes in 2020, and cover free preventive services such as annual wellness visits and screening tests.
- Author: Food Consumer
- Tags: Healthcare, Health News, #vivvo-import

**Prescription Drug Discounts**

Effective January 1, 2011

Under the healthcare reform law, seniors who reach the prescription drug coverage gapor so called donut hole will receive a 50 percent discount when buying Medicare Part D covered brand-name prescription drugs. They will also receive a 7% discount when buying generic drugs. The discounts will increase annually until the coverage gap is closed in 2020\. In 2020, seniors will pay 25% of the cost for their prescription drugs and generic drugs.

**Free Preventive Care for Seniors**

Effective January 1, 2011

The healthcare reform law provision provides certain free preventive services, such as annual wellness visits and personalized prevention plans, for seniors on Medicare. 

For men ages 50 or older, preventative services can include screening tests for abdominal aortic aneurysm, colorectal cancer, depression, diabetes, high blood pressure, high choesterol, HIV, obesity and sexually transmitted infections.

For men ages 50 or older, the preventative services can include screening tests for breast cancer, cervical cancer, colorectal cancer, depression, diabetes, high blood pressure, high cholesterol, HIV, obesity, osteoporosis, and sexually transmitted infections.

**Bringing Down Health Care Premiums**

Effective January 1, 2011 

The new health reform law provision requires that at least 85% of all premium dollars collected by health insurance companies for large employer plans are spent on health care services and health care quality improvement. For plans sold to individuals and small employers, at least 80% of the premiums must be spent on consumers' benefits and quality improvement. If health insurance companies do not meet these goals because their administrative costs or profits are too high, they must provide rebates to consumers.

**Addressing Overpayments to Big Health Insurance Companies and Strengthening Medicare Advantage**

Effective January 1, 2011

Under the healthcare reform law, today, Medicare pays Medicare Advantage health insurance companies over $1,000 more per person on average than is spent per person in Original Medicare. This results in increased premiums for all Medicare beneficiaries, including the 77 percent of beneficiaries who are not currently enrolled in a Medicare Advantage plan. The healthcare reform law provision levels the playing field by gradually eliminating this discrepancy. People enrolled in a Medicare Advantage plan will still receive all guaranteed Medicare benefits, and the law provides bonus payments to Medicare Advantage plans that provide high quality care. Learn more about improvements to Medicare.

**Improving Health Care Quality and Efficiency**

Effective no later than January 1, 2011

The Affordable Care Act establishes a new Center for Medicare & Medicaid Innovation that will begin testing new ways of delivering care to patients. These new methods are expected to improve the quality of health care and reduce the rate of growth in costs for Medicare, Medicaid, and the Children’s Health Insurance Program (CHIP). By January 1, 2011, HHS will submit a national strategy for quality improvement in health care, including these programs. 

Learn more about the Center for Medicare and Medicaid Innovation.

**Improving healthcare for Seniors after They Leave the Hospital**

Effective January 1, 2011

Under the health care reform law, the Community Care Transitions Program will help high-risk Medicare beneficiaries who are hospitalized avoid unnecessary readmissions by coordinating care and connecting patients to services in their communities.

**New Innovations to Bring Down Costs**

Administrative funding becomes available October 1, 2011

Under the healthcare reform law, the Independent Payment Advisory Board will begin operations to develop and submit proposals to Congress and the President aimed at extending the life of the Medicare Trust Fund. The Board is expected to focus on ways to target waste in the system, and recommend ways to reduce costs, improve health outcomes for patients, and expand access to high-quality care. 

**Increasing Access to Services at Home and in the Community**

Effective beginning October 1, 2011

Under the healthcare reform law, the new Community First Choice Option allows States to offer home and community based services to disabled individuals through Medicaid rather than institutional care in nursing homes. 

*from healthcare.gov and slightly edited*