Medicare Part D
Medicare Part D is prescription drug coverage. Part D coverage is available as a Stand Alone Option (PDP) or as part of a Medicare Advantage plan (Part C). Part D plans are offered by private insurance companies contracted and approved by Medicare.
When should you sign up?
You are eligible for Part D when you first become eligible for Part A. You can avoid late enrollment penalties by joining a Part D plan when you first become eligible. If you have had other credible coverage you are not subject to a penalty. Group insurance or Veterans benefits are examples of credible coverage. If you lose your credible coverage, you have 60 days to enroll in a plan.
Is there a monthly premium?
Yes. Premiums vary depending upon the plan option you choose. Generally they are under $30 per month and in some cases under $20 per month. The plan you chose depends on your prescriptions.
The two options for prescription drug coverage are:
- Prescription drug coverage as part of a Medicare Advantage plan. You get Part A, Part B and Part D coverage in one plan.
- Stand-alone Medicare prescription drug plan (PDP). These plans only offer prescription drug coverage. You can buy a PDP plan in addition to your existing Original Medicare (Part A and/or Part B) coverage, Medicare Supplement (Medigap) plan, Private Fee-for-Service (PFFS) plan without prescription drug coverage, some Medicare Cost Plans, or Medicare Medical Savings Account (MSA) Plans.