Using Matched Survey and Administrative Data to Estimate Eligibility for the Medicare Part D Low-Income Subsidy Program

Social Security Bulletin, Vol. 70, No. 2, pp. 63-82, 2010

20 Pages Posted: 8 May 2010

See all articles by Erik Meijer

Erik Meijer

University of Southern California; RAND Corporation

Lynn A. Karoly

RAND Corporation - Santa Monica CA Offices

Pierre-Carl Michaud

RAND Corporation; IZA Institute of Labor Economics

Multiple version iconThere are 2 versions of this paper

Date Written: May 5, 2010

Abstract

This article uses matched survey and administrative data to estimate, as of 2006, the size of the population eligible for the Low-Income Subsidy (LIS), which was designed to provide “extra help” with premiums, deductibles, and copayments for Medicare Part D beneficiaries with low income and limited assets. We employ individual-level data from the Survey of Income and Program Participation and the Health and Retirement Study to cover the potentially LIS-eligible noninstitutionalized and institutionalized populations of all ages. The survey data are matched to Social Security administrative data to improve on potentially error-ridden survey measures of income and program participation. Our baseline estimate, based on the matched data, is that about 12 million individuals were potentially eligible for the LIS as of 2006. A sensitivity analysis indicates that the use of administrative data has a relatively small effect on the estimates, but does suggest that measurement error is important to account for.

Keywords: Medicare Part D, Low-Income Subsidy, matched survey-administrative data

JEL Classification: C81, I38

Suggested Citation

Meijer, Erik and Karoly, Lynn A. and Michaud, Pierre-Carl, Using Matched Survey and Administrative Data to Estimate Eligibility for the Medicare Part D Low-Income Subsidy Program (May 5, 2010). Social Security Bulletin, Vol. 70, No. 2, pp. 63-82, 2010. Available at SSRN: https://ssrn.com/abstract=1597376

Erik Meijer

University of Southern California ( email )

635 Downey Way
Los Angeles, CA 90089-3332
United States

RAND Corporation ( email )

1776 Main Street
P.O. Box 2138
Santa Monica, CA 90407-2138
United States

Lynn A. Karoly (Contact Author)

RAND Corporation - Santa Monica CA Offices ( email )

P.O. Box 2138
1776 Main Street
Santa Monica, CA 90407-2138
United States

Pierre-Carl Michaud

RAND Corporation ( email )

1776 Main Street
Santa Monica, CA 90407-2138
United States

IZA Institute of Labor Economics

P.O. Box 7240
Bonn, D-53072
Germany

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