Prescription Drug Coverage For Seniors

Many people don’t have to worry about prescription drugs — their health coverage already includes the cost of medicine. But for senior citizens, paying for the drugs they need can be a challenge.

For years, Medicare covered doctor and hospital bills. But when it came to prescription drugs, Medicare didn’t offer much help. Now that has changed.

The Medicare Prescription Drug, Improvement, and Modernization Act of 2003 added prescription drug benefits to the program. The drug benefits are popularly known as Medicare Part D. Even though the program was created by the government, the actual plans that pay your medications are offered by private insurance companies.

How Will The Plan Work for Me?

Instead of just having one plan that covers everyone, there are a variety of plans — more than most people can keep track of. The specifics of each plan variant vary from state to state. But this is what you should know:

• You’ll be responsible for a monthly premium of around $37.
• Your plan will have a deductible of around $250.
• Your plan will cover 75% of your prescription drug costs between $250 and $2,250.
• Different plans may offer additional options.
• You may be able to save between 15 to 25% per prescription.
• You can choose to remain on traditional Medicare, and all of the options above are voluntary.

When you enroll in a Medicare Part D plan, make sure you know which drugs are covered. Not every plan covers the same drugs. So if there are certain drugs that you rely on, check to see that they’re covered before you enroll.

Another important thing to know about Part D plans is that once your drug costs reach $2,250, you’ll be responsible for paying the rest until the total cost reaches $3,600 — that’s $1,350. After that, the plan will pay for 95% of your drug costs.

Something To Keep In Mind About Medicare Part D

Remember, the Medicare prescription drug program is still a work in progress. Though the program became law in late 2003, they didn’t start rolling out the actual plans until 2006. The system still has plenty of wrinkles to iron out. But if recent surveys are any indication, it’s working out for most people — the Kaiser Family Foundation found that 80% of the people enrolled in it were satisfied.

The best way to find the right plan is to compare plans from several insurance agents. When you use our free service to get insurance quotes, you’ll be matched with local agents who can help you choose the right plan. To get your free insurance quotes, fill out this short form.