Understanding the Medicare Prescription Drug Plan

The addition of a voluntary prescription drug plan to Medicare was the main feature of the Medicare Prescription Drug, Improvement, and Modernization Act of 2003. If you are eligible for Medicare, you are eligible for Part D which helps pay for prescription drugs. The plans are run by private companies under Medicare rules and regulations. While the number will vary depending on your location, most seniors will have to choose from many different plans.

You will pay a monthly premium for Medicare Part D with the average cost being around $35.00. You will also have a $250 deductible. There will be a 25 percent co-payment on total prescription cost

Low income Medicare recipients will receive additional assistance. Medicare recipients, including those who reside in nursing homes who receive their medications through Medicaid will also need to sign up for Medicare Part D.