Medical costs are set to be a little lighter for the Island's senior citizens at least in the area of prescription medication.

Acting Finance Minister Paula Cox announced in the House of Assembly Government's plans to implement a $1,000 a year prescription drug benefit for all people 65 years and older who are enrolled in the Health Insurance Plan (HIP).

Ms Cox (pictured) said the legislation she will bring to the House will be made retroactive to the start of this month in recognition of seniors' month.

Government has estimated value of the benefit to be over $2 million per year as there are just over 2,000 seniors enrolled in HIP. The cost of the benefit will be paid out of the Mutual Re-Insurance Fund (MRF), into which all insured are required to make a monthly contribution. Those contributions will increase $4.42 a month, shared equally between employers and employees. The insurance premium for full coverage under HIP is $133.20 per month.Ms Cox also said that last year Government improved health care benefits for seniors covering an additional doctor's visit a year. Earlier this year seniors had their benefits relating to surgery and anaesthesia increased. Government plans to launch a publicity programme on the new benefits soon.