APA Dictionary of Psychology

the colloquial name of the Medicare Prescription Drug, Improvement, and Modernization Act, a 2003 Congressional amendment of Medicare and the largest Medicare overhaul to that date. The biggest change was the addition of prescription drug coverage (i.e., Medicare Part D), but restrictions built into the legislation (e.g., prohibiting the federal government from negotiating lower drug prices or establishing a formulary) and a coverage gap occurring once a patient exceeded an initial limit but before catastrophic drug coverage kicked in (the “donut hole”) met with criticism. Subsequent bills were passed to ameliorate the out-of-pocket expenses of the donut hole and to gradually close it (e.g., Health Care and Education Affordability Reconciliation Act). Other changes made by MMA include better preventive care coverage, the addition of more plans to choose from, and the repeal of a number of restrictions governing the use of health savings accounts.