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Purpose of Medicare Part D

Medicare Part D was established to cover the cost of prescription drugs for persons on Medicare who have no supplemental coverage for medications. Persons with Medicare coverage receive their prescription drugs at a reduced cost through the Part D plan.

  1. Coverage

    • Medicare Part D was designed to provide prescription drug coverage to persons on Medicare, according to the website Part D-Medicare.com. Name brand or generic prescription medication is covered in full or in part through the Part D plan. Its primary purpose is to reduce the out-of-pocket costs of prescription medication in association with medical care covered under the other parts of Medicare insurance.

    Plans

    • The government does not directly provide for Medicare Part D plans, consequently there are a number of companies offering different plans. Although companies offering Part D plans are privately run, they must still meet the government-required standards, according to the Part D-Medicare website. Medicare Part D plans are optional, so monthly premiums will likely need to be paid.

    Eligibility

    • There is a six-month period surrounding a person’s 65th birthday (three months before and three months after) that is the Medicare eligibility period. During this time you can also elect to join a Medicare Advantage plan, Medicare prescription drug plan or other Medicare health plan that offers drug coverage. Consideration should be given to joining a Part D plan to prepare for future health issues and protect against unexpected high drug costs.

    Drug Coverage

    • The list of drugs covered by a Medicare Part D plan is the formulary, according to the website Medicare.gov. Brand name and generic drugs are both included among the formulary drugs, which must include at least two drugs in classes and categories commonly prescribed to persons with Medicare coverage. This ensures the needed treatment coverage for many types of medical conditions.

    Convenience

    • Pharmacies contract with Medicare Part D plans, so before joining a plan make sure that the pharmacy in your area is listed with the plan you are considering. Mail-order prescription drug plans are also offered through some Medicare Part D plans.

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