Some provisions of the new health care law will impact everyone

The passage of the Patient Protection and Affordable Care Act this past Mach means that some additional changes will be made to health plan offerings that may impact your health care budget.  One, a favorite of mine, is the wide variety of uses for Flexible Spending and Health Savings Account funds.  From a post I wrote previously, I outlined the advantages and disadvantages of these accounts.  However, regardless of what type in which you may contribute, beginning in January 2011, the eligible usage of these funds won't be as broad as in the past.

From the revised IRS guidelines, FSAs and HSAs funds will no longer be eligible for purchasing certain over-the-counter medicines and remedies.  Instead, consumers will largely only be able to use these funds for prescriptions, co-pays, and other eligible medical-related purchases.  It's a bummer, as even cold medication was covered previously.  More so, pharmacies may fill a bit of a pinch as well on these changes.  Whereas in the past a consumer may be more willing to buy a remedy for a cold, as an example, rather than wait it out, now, without being able to use pre-tax dollars for medications, this restriction may just discourage some from seeking treatment.

With open enrollment around the corner, keep in mind that your ability to use FSAs/HSAs may be more limited than in the past, thus, don't "over-fund" your contributions.  Try to estimate your co-pays and prescription drug needs as accurately as possible to prevent wasting money.

CVS settlement with the Federal Trade Commission

A couple of days ago, I received a letter from the FTC saying that it had sued CVS Pharmacy for falsely claiming that its Air Shield product prevented colds.  While I didn't actively sign up for this lawsuit, the letter claims that "according to its records, I had purchased Air Shield."  Kind of scary.  FYI, if you don't know what Air Shield is, it's a knock-off of Air Borne, which also has faced a similar lawsuit.  Enclosed with the letter is a check for $24.81, which is pretty awesome of course.

I have always liked Air Shield and swear by the stuff.  It's cheaper than Air Borne and I like to make a cocktail of Air Shield and Theraflu when I am feeling a little if-y.  I will gladly cash the check and give up my right to sue them further.  You might want to check your mailbox to see if you have received a similar letter. 

The power of loyalty marketing

But, this is a great example of the power of loyalty marketing.  I am a huge fan of CVS ExtraBucks, and have written about them on many occasions such as here and here.  And, just the other day, I walked out of CVS having purchased two tubes of toothpaste for $.79 because I had a $2 ExtraCare buck receipt and Crest was offering a two-for-one deal, originally at $2.79.  Since I proceeded to use the self checkout, I kind of felt like CVS lost money on my transaction by having an employee stand there.  I don't think they saw the grin on my face as I left the store knowing what I had just pulled off, all on the up and up.

However, I also realized that the Feds (or others) are using this data.  Thus, one has to think about the privacy they are sacrificing for savings.  As long as one doesn't become a victim of identity theft (or some other malicious targeting) because of it, I don't mind signing up for these types of loyalty programs.  When you think about it, you already are tracked by your bank, the IRS, credit card companies, the health care industry, and many others.  It becomes very difficult to live "off the grid."  Just yesterday, the Centers for Disease Control used grocery store data to track the spread of salmonella.  Thus, your data is being used. 

100th Post Today

Thanks to the loyal readers who have read me from the beginning.  Today, I write my 100th post and hope to write another 100.  I appreciate your ideas, thoughts, and comments.  Without them, I would be writing to myself.

Tell me where you have saved money!

Lower your health care costs today

While Congress debates health care reform, there are things that consumers can do right now that will help them save money on their health care costs, specifically on their prescription drugs.  First, ask your doctor if there is an alternative or generic version of a pill that they can prescribe you.  There's a reason why drugs costs as much as they do.  Advertising brand name drugs costs drug manufacturers a great deal of money.  As a consumer, you will pay for those high-profile Hollywood/sports celebrities hawking expensive prescription drugs.

Second, as with other common purchases, comparing costs of identical prescription drugs is a smart idea.  If you are fortunate enough to have several pharmacy chain stores in your area, shop your prescription around before getting it filled.  After visiting your doctor, it's easy to just want to get the prescription filled as soon as possible.  But, if you can wait, call 2-3 pharmacies to see what their prices are, if they will quote them over the phone.  Or, check their website.  Many drug stores have on-going promotions that will reward you with cash back or discounts for transferring your prescriptions from other pharmacies.  As long as the prescription to be filled is the same, why not pay as little as possible for it?

Third, see if the drug manufacturer participates in any patient assistance programs.  These programs provide discounted, and sometimes free, prescription drugs to qualified consumers.  Some sites to research include RxAssist,  Needy Meds, and the Partnership for Prescription Assistance.  These sites list drug manufacturers who are participating in such programs.

Fourth, in addition to asking your doctor for an alternative or generic prescription, see if they have any samples that they can provide you.  Pharmaceutical sales representatives will often provide several to doctors as a way of introducing their products.  If not, your doctor may also point you to other resources for discounted prescriptions.

As always, be sure your doctor is aware of your health care decisions.  But, also keep in mind that an informed consumer is an empowered consumer.  You have options that can help keep you, and your wallet, healthy.