What is Medicare Part D?

Medicare Part D is the federal government's prescription drug program. If you choose the Traditional Medicare path (Parts A and B), you need a standalone Part D plan to cover your medications. Traditional Medicare covers your hospital stays and doctor visits, but it does not pay for the prescriptions you pick up at the pharmacy. That is where Part D comes in.

You purchase Part D plans through private insurance companies approved by Medicare. These plans help pay for both brand-name and generic drugs. Even if you don't take any prescription medications right now, you should strongly consider enrolling in a Part D plan when you first become eligible. If you wait until you need medications to sign up, you will face a permanent late enrollment penalty that gets added to your monthly premium for the rest of your life.

When you look at the Medicare landscape, remember the simple truth: you are choosing between two paths, not two products. The first path is Traditional Medicare (A and B) plus a Medigap policy to fill the holes, plus a standalone Part D plan for your prescriptions. The second path is Medicare Advantage (Part C), which usually bundles your hospital, medical, and prescription drug coverage into one private plan.

If you take the Traditional path, your Part D plan is a critical component. Each Part D plan has a formulary, which is a list of covered drugs. Before you choose a plan, you need to make sure your specific medications are on that plan's formulary. Plans place drugs into different "tiers," which determine your copay or coinsurance. Lower tiers generally have lower costs, while higher tiers (like specialty drugs) cost more.

You don't have to figure out the Part D maze alone. We walk you through every option and make sure your medications are covered at the lowest possible cost. We are on your side of the table, and we will help you compare plans free, with no obligation.