The Nation - News from Feb. 26, 1987

President Reagan’s catastrophic health insurance plan would cost Medicare recipients an extra $6.40 a month, not the $4.92 the Administration estimates, the Congressional Budget Office said. Rep. Bill Gradison (R-Ohio) released the figures at a meeting of the House Ways and Means Committee. The Administration, under a plan drawn up by Health and Human Services Secretary Otis R. Bowen, proposes increasing coverage for Medicare recipients to limit their out-of-pocket costs to no more than $2,000 annually. The increased coverage would be paid for with the increase in premiums.