Part D of Medicare - How The Medicare Drug Plan Works
This isn’t the easiest plan to understand, but with the help of a knowledgeable health care insurance agent, you can get the best coverage for your own personal needs.
Medicare, although a good concept when it was first brought into being, has some “gaps” that just don’t cover life in the 21st century. One of those gaps is drug coverage. That’s where part D comes in. Part D is an insurance plan that helps cover the cost of prescription drugs for people with Medicare. To purchase “Part D” of Medicare you have to go to an insurance company who is allowed to sell Part D plans. Sounds good so far and there are even provisions for people with limited incomes to get extra help: Medicare will help pay for almost all of the prescription drug costs.
There are several Part “D” plans to choose from. Each insurance carrier has about 3 different plan designs. Unlike the standardized Medicare plans “A” through ”L” plans, part “D” has many different plan designs. The differences come into play with each carrier’s unique formulary list, pharmacy networks, co-pays, etc… The costs of the plans also vary depending on how rich the benefits are.
Part “D” kind of like any other prescription drug benefit that is attached to a regular health insurance plan. Your Part “D” plan may have a deductible that you have to pay before you can get your prescriptions on the co-pay. Part “D” plans with a deductible are usually the most inexpensive plans. Other plans will allow you to start buying prescription drugs with a co-pay right away. This is the most popular plan. The most expensive plans will cover your generic drugs throughout the doughnut. The doughnut is a dollar amount where the part “D” participant is responsible for paying for their own prescribed drugs out of their own pocket. Plans that give a benefit throughout the doughnut hole are usually a bit more expensive.
Buy a plan that fits your needs. If you have a lot of prescriptions you may want to buy the richest plan. Of course this will also be the most expensive but it’s worth it. If you don’t take any prescribed medication you can probably get away with the most inexpensive plan. But you do need to get a Part “D” plan when you become eligible because if you don’t, you will be penalized for signing up late. Not only that, as we age we tend to need prescription drugs to keep us healthy and everything running smoothly.
If you need help figuring out what plan would work the best for you, contact a local health insurance agent who is fully trained and qualified to sell Part “D” plans. Local agents have a good feel for the market they serve, plus the advice they give is free.
Tags: Drug Plan, Medicare Supplement, Part D, Perscription
