Prescription Drug Plan
Prescription Drug Plan
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Medicare Part D: Prescription Drug Plan covers some of the costs of your prescription drugs through a pharmacy of your choice. Plans are sold by private companies. There are two ways to enroll:
Add a plan to Original Medicare.
Choose a Medicare Advantage Plan that includes coverage for prescription drugs.
Given the changes to Part D for 2025, it is very important to check your prescription drug plan (whether it's part of a Medicare Advantage plan or a separate PDP) for changes in premiums, drug coverage, and costs so that you can get the best plan at the best price. I can help you compare options for 2025.
Considerations when Choosing a Drug Plan
Considerations when Choosing a Drug Plan
Each insurance carrier negotiates its own prices with drug manufacturers and its contracts with pharmacies. This means that the cost of your drugs can vary greatly from carrier to carrier and pharmacy to pharmacy. In addition, those prices can change each year your contract is renewed.
If you are a new client, I can work with you to enter your prescriptions into the plan you like so that you are prepared for the monthly and yearly costs*.
For returning clients, it is equally important for us to meet yearly to review and update your list of medications and check the next year's pricing. Changing pharmacies or plans may lead to large savings for you. Or, we may find that the plan you've been using is still the right one for your budget. That's how having an agent benefits you year after year.
Costs of Part D Coverage
Costs of Part D Coverage
Drug plans have the following costs that need to be considered when choosing a plan:
Monthly premium - Must be paid to keep the policy in force. This can range from $0 up to more than $100 per month.
Yearly deductible - Paid before the plan starts paying for your prescriptions. The maximum is set yearly by the government (in 2025, it's $590).
Copayments or coinsurance - Paid after the deductible is satisfied. This could be very low for common, generic drugs (e.g., $0 or $10 per prescription) or much higher (for brand name or specialty drugs).
Cap on prescriptions - Starting in 2025, you will not pay more than $2000 out-of-pocket for your medications; once you reach that limit, you pay $0 for the rest of the calendar year.
Ways to Save on Drugs
Ways to Save on Drugs
Choose your plan wisely - This is where it is well worth having an independent insurance agent like me who can help you find the plan in your area that costs the least for all of your current medications.
Manufacturer's Discount - Check the manufacturer's site to see if there are discounts available for your medications.
Check for coupons or other options. As your agent, I can help you explore coupons and other options for getting your medications at a lower price.
In 2025, the Coverage Gap, or Donut Hole, has been eliminated.
Also, the maximum out-of-pocket amount you will pay for the year is $2000.
If you have questions about prescription drug coverage, click the LEARN MORE button to the right to get started.
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