Medicare Part D

What is Medicare Part D?

Medicare Part D is a prescription plan that will help you to get lower priced medications.

In 2012, there were 32 million people enrolled in Part D.

Medicare Part D Premiums

Most people pay for this coverage by a premium averaging $40/month ($480/year).

Not all Medicare part D plans are alike and some will cover medications that other types of Part D plans will not cover. THIS is the confusing part!

You will select the coverage for yourself that best suits your needs for prescription coverage... not simply what your spouse takes, or your neighbor.

If you don't take Medicare Part D when its first offered at age 65 – BEWARE, you will pay higher lifetime premiums if and when you do take it. If you get employer-paid health care as part of your insurances, be sure to check with them -- sometimes if you enroll in Medicare Part D, you could lose their coverage... a simple phone call will work.

There are other insurance companies who offer supplemental insurance to you that will help to cover the things that your Medicare insurance does not cover, and one of them may be a wise purchase.

Medicare's Donut Hole for Prescription Costs

When the total retail cost in your prescription drug plan costs reaches $2970 (in 2013), you hit the Donut Hole.

During the donut hole period, you will pay more for your drugs, as follows:

• You pay 47.5% of the cost of any brand name drugs
• You pay 79% of the cost of generic drugs
  

This is true until you pay over a total of $4750 in 2013, then it falls back into place like before.

** Some employer health care plans for retirees cover the donut hole.

In the Jan/Feb 2013 issue of AARP Bulletin, they showed one example of a woman who fell into the donut hole and had to pay $569 per month got Forteo (drug without any generics available) for 4 months. Then the co-pay reverted to the normal $55/month.

Learn more on what is Medicare here.

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