What is Medicare Part D?
Medicare Prescription Drugs, also known as Medicare Part D, is a program that provides prescription drug coverage to Medicare beneficiaries. This program is offered by private insurance companies that contract with Medicare.
Medicare Part D is optional and beneficiaries can enroll in a standalone Prescription Drug Plan (PDP) or as part of a Medicare Advantage plan that includes prescription drug coverage.
Medicare Part D plans cover a wide range of prescription drugs and each plan has its own formulary, which is a list of drugs covered by the plan.
Beneficiaries typically pay a monthly premium, annual deductible, and a portion of the cost of their prescription drugs until they reach the plan's coverage limit, also known as the "donut hole".