Medicare Part D cost can vary from person to person, meaning there is no one size fits all plan, which is why it's important to do you research before making any decisions (especially a decision as important as your healthcare). The cost of Medicare Part D will primarily depend on a few different factors which we will outline for you. So, if you’re ready to get started, here’s what you need to know about the costs associated with your Prescription Drug Plan.
What Is The Cost For Medicare Part D?
The cost of your Medicare Part D prescription drug plan will vary , but the average American spends between $34 and $405 on monthly premiums. However, that doesn’t take any other out-of-pocket expenses into account.
It is important to note that copayments and coinsurance are often overlooked when picking a plan, but can add up over time. Try and get all of this information together when you assess what your monthly cost of Medicare Part D will be.
Medicare Part D Cost in 2018
The cost of Medicare Part D is more or less where it has always been in 2018. While the price has risen slightly, it hasn't been to the point of being particularly noteworthy. If you have found yourself paying for the coverage in the past, or have opted into similar programs, you should have no problems affording the monthly cost of Medicare Part D.
Can You Get Part D Coverage For Free?
Many people find themselves in situations where they cannot afford the Medicare Part D cost. Even in situations where the Medicare Part D cost is severely lowered, you may find yourself looking for other options. This leads people to ask the question: Can I get Medicare Part D coverage for free?
The short answer, unfortunately, is no. The long one is that while the service can't be free, by pairing benefits with insurance offerings, its expense can be lowered significantly. Remember, while Original Medicare (Parts A and B) are administered by the federal government, Medicare Advantage and Medicare Part D are offered by private health insurance companies who need to make a profit.
Medicare Part D Cost Factors?
The cost of Medicare part D is contingent on a few factors. These factors will be the deciding factors in the cost of your plan in the long-term. Your cost of Medicare Part D will be contingent upon:
- Drug Requirements
- Your Plan
- Your Pharmacy
- Drug Formulary
- Receiving Extra Funding
Each of these factors combined to create the bulk of your plan's cost. There are also late enrollment penalties, and surcharges on your premium that are dependent on your income. We’ll touch more on that later.
Part D Premiums
The average premium for coverage nationwide is $34. While this may seem low, it is important to note that this cost has the potential to be much higher depending on your current situation. That said, it also means that the cost of your Part D package can be a bit lower.
Ultimately, you will want to consult the above information to get an idea of what your plan cost. There is almost always a way to either reduce the cost or to help you find a way to afford the medicine you need. More information on these topics is listed below.
Part D Deductible
If you are currently utilizing a plan that features a sizeable deductible, you will not be able to pay for your prescriptions until that same deductible is completely paid off. The single highest deductible that was charged in 2018 was $405, which means the overall expense is rarely extremely high. It is far more likely that your deductible will be much lower, hovering around the $200 dollar range.
In the vast majority of scenarios, deductibles are negotiable. If you find yourself in need of some financial assistance, get contact with your coverage provider as soon as possible.
Which Plan You Choose
There are a couple different choices that determine which Part D coverage plan you will want to opt into. First, you need to determine whether or not you want the Original Medicare Plan or the newer Advantage Plan. Each option has a few key differences, so do some research to ensure you make an informed decision.
Next, you will need to decide whether or not you want prescription drug coverage. Finally, you need to determine if you are going to want supplemental coverage, which while more costly, can help you significantly in the even the drug you are looking for is not covered under standard options. Ultimately, the choice will be yours.
The Drugs You Use
The drugs you use can affect Part D in two ways. First, if they are prescription, they can potentially be more costly than their standard or generic counterparts would be. Second, you need to check if they are covered by your monthly premium. Once you have these two factors verified, you won't have any other drug-related factors to check up on.
Income And Medicare Part D Surcharges
Your income will determine the cost of your monthly premiums, copays, and general coverage cost. In the event you do not have a large income stream, your costs will be lower, but you will also have a more limited selection of coverage options. If you have a high income, you will be completely uninhibited when it comes to coverage options, but you will have larger monthly fees as well as potential surcharges added to your monthly premium.
Getting Help For Medicare Part D
Being tight on money doesn’t mean that you have to forego getting coverage for your medication. Luckily, there are plenty of programs out there that can help with Medicare Part D costs. Here are some of the options you should take a look into. Qualifying for any of these programs will help you keep your costs under control.
- Medicaid
- Medicare Savings Program (MSP)
- PACE (Program of All-inclusive Care for the Elderly)
- Extra Help
- Supplemental Security Income (SSI)
