Prescription Drug Coverage (Part D)
Medicare Prescription Drug plans are offered by private health insurance companies and cover your prescription drug costs for covered medications.
You can choose to receive this coverage in addition to:
- Original Medicare (Part A and Part B)
- Original Medicare (Part A and Part B) with a Medigap Plan
Part D coverage is generally included in most Medicare Advantage (Part C) plans.
Costs
Premium | Most Part D plans require a monthly premium. |
---|---|
Deductible | Some plans have deductibles. |
Copays | Many Part D plans require that you pay a fixed copayment each time you fill a prescription. |
Coinsurance | Some Part D plans require that you pay a percentage (coinsurance) of a medication’s cost every time you fill a prescription. |
Coverage Gap | Although plan designs can vary, most Medicare Part D plans have a cost sharing component commonly known as a coverage gap or “donut hole.” The coverage gap is a temporary limit where you are responsible for all of your drug costs until you reach the plan’s annual out-of-pocket limit. After you reach that limit, you will pay only a small share of your prescription costs for the remainder of the year. |