Prescription Drug Plans and Other Plans
Medicare Prescription Drug plans subsidize the cost of prescription drugs for Medicare beneficiaries. Medicare Part D Prescription Drug plans are offered by Medicare-approved private insurance companies. The monthly premium for these plans may differ. Part D plans include a formulary, which is a list of the drugs that are covered. The formulary may change at any time, but participants receive notice before any changes are made to it.
Each Prescription Drug plan has its own formulary, which is a list of the prescription drugs that are covered. You need to check and make sure that the drugs you take are on your plan’s formulary.
There are numerous things that you can do to decrease your prescription drug prices.
- Make sure that you are using a pharmacy that is in-network.
- Check and see if you can receive your prescription drugs via mail--this sometimes requires you to purchase a 3-month supply, but such orders are usually offered at a lower price.
- When you’ve reached your spending limit ($4,020 in 2023) you must pay 25% of the cost of brand-name prescription drugs and 37% of generic prescription drugs.
- If your costs reach $6,350, you enter catastrophic coverage and only pay a small co-pay or co-insurance for the rest of the year.