Part D Medicare
What is Part D and how does it work?
As you approach Medicare eligibility, we know you have been overwhelmed by all the different parts and plans related to Medicare. While Medicare Part A and Part B are the foundation of Original Medicare, they are not the only parts of Medicare. There are also Part C (Medicare Advantage Plans), Part D (Medicare Prescription Drug Coverage). Each of these parts covers different things, and it can be confusing to know which one you need and how they work. That's where a health insurance agent can help.
A health insurance agent can provide comprehensive assistance with all parts of Medicare, and help you understand the role each part plays. With their help, you can be sure that you're getting the coverage you need at a price you can afford.
As most people know, Medicare Part A and Part B only cover certain medical expenses. Part D, on the other hand, covers prescription drugs. This can be a vital coverage for many seniors, as it can help them afford the medications they need to maintain their health. Beneficiaries can enroll in a standalone Part D drug plan that goes alongside their Original Medicare benefits, or they can choose a Part D drug plan that is built-in to a Part C Medicare Advantage Plan.
Your Part D insurance card will be separate from your Medigap / Supplement plan. To improve your understanding of Medicare Part D, let’s look at the basic way that each Part D plan works.
These four payment stages are:
Initial coverage stage
Medicare donut hole (coverage gap) stage
Catastrophic coverage stage.
Many people have heard of the phrase Medicare Part D donut hole but don't know exactly what it means. The Medicare donut hole is a gap inside of all Part D plans. When your spending reaches the threshold for the coverage gap, your medication costs can then be higher than they were prior to you reaching the donut hole.
You may select a Medicare plan with prescription drug coverage that doesn’t have a deductible. In that case, you skip the deductible stage and go immediately to the initial coverage stage. If you take a lot of generic prescription drugs, the cost may never reach amounts that put you in the Medicare donut hole or catastrophic coverage stages.
But if you do have high prescription drug costs, you could still enter the “coverage gap” phase once you and the Medicare Part D plan have spent a certain amount ( $4,430 for covered prescription drugs in 2022 ). You’ll pay no more than 25% of the cost of your covered medications during this phase. Then, if your spending on covered medications reaches $7,050 (in 2022 ), you’ll enter the catastrophic coverage stage. Your Medicare prescription drug plan will pay most of the cost of your covered medications for the balance of the year.
Don't go without the prescription drug coverage you need. Contact a health insurance agent today to learn more about Part D and how it can help you.
A health insurance agent can help you understand what Part D covers, and how to enroll in a plan that meets your needs. They can also help you compare plans and prices, to make sure you're getting the best possible deal. With their help, you can be sure you're getting the coverage you need at a price you can afford.
A health insurance agent can be a valuable resource for anyone enrolled in Medicare, or considering enrolling in Medicare. They can provide information and assistance with all parts of the program, help you compare plans and prices, and make sure you're getting the coverage you need at a price you can afford. Contact Virginia's Health Insurance Agent today to learn more about how they can help you navigate the tricky roads of Medicare.