Medicare Prescription Drug Benefit
Since January 1, 2006, Medicare also provides prescription drug coverage, called Medicare Part D. Medicare Part D provides protection for people who have very high drug costs. If you currently have Medicare Part A (Hospital Insurance) and/or Medicare Part B (Medical Insurance), you can join a Medicare prescription drug plan. If you didn’t sign up by May 15, 2006, you may be required to pay a penalty. Your next opportunity to enroll is from November 15, 2006 to December 31, 2006.
This coverage is provided through commercial prescription drug plans. There are both stand alone prescription drug plans that offer drug coverage only, and also Medicare Advantage or other Health Plans with Prescription Drug Coverage.
Like other insurance, if you join you may need to pay a monthly premium (about $30 in 2006 although this may vary) and pay a share of the cost of your prescriptions. There is extra help for people with limited income and resources, which lowers or eliminates your premiums. For people with Medicare who qualify for extra help, Medicare will pay for almost all of their prescription drug costs. You can apply or get more information about the extra help by calling Social Security at 1-800-772-1213 (TTY 1-800-325-0778) or visiting www.socialsecurity.gov. If you have both Medicare and Medicaid, you will be automatically transferred to a Medicare prescription drug plan.
The costs for your prescriptions will vary depending on the drug plan you choose. Drug plans may vary in what prescription drugs are covered, how much you have to pay, and which pharmacies you can use. All drug plans will have to provide at least a standard level of coverage. However, some plans will offer more coverage and additional drugs for a higher monthly premium. When you join a drug plan, it is important for you to choose one that meets your prescription drug needs. To get help in selecting a plan, call 1-800-MEDICARE, visit www.medicare.gov or contact your local point of contact.