Lawsuit Will Test State Plan to Shift Retiree Drug Coverage to Medicare

Route Fifty: There's a court battle brewing in Maryland over the state’s plan to shift prescription drug coverage for some retired public employees from a state-run program to Medicare, beginning early next year.

Four retired state workers filed a lawsuit against the state earlier this month, alleging that the shift is a breach of contract that would violate their constitutional rights and saddle them with burdensome health care costs. The change stems from a 2011 overhaul of retirement benefits for state retirees expected to save Maryland billions of dollars.

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