Medicare Part D

Medicare, a government-administered social insurance program in the United States, which provides health insurance to people aged 65 and over (or who meet special criteria), consists of two main categories: the "Original Medicare Plan" and the "Medicare Advantage Plan." Each of these is further divided into four sub-categories, which are mostly associated with the following:

Part A - hospital and nursing facility care;

Part B - outpatient care, doctor's services, therapists, additional home health care; 

Part C - combination of Part A and Part B (provided through private insurance companies);

Part D - drug coverage.

Medicare Part D is an insurance provided by private companies approved by Medicare, and it covers prescription drugs. Its purpose is to help lower drug costs and enable the patients to have greater access to the drugs needed in their condition. This coverage can be either added to the Original Medicare Plan, or one can join an HMO or PPO than includes Part D coverage. Depending on the situation, it may involve paying an additional premium.

Once someone joins this insurance, a membership card and some additional materials are mailed to him. While using this card, the patient will still need to pay a co-pay, co-insurance or deductible.

It is good to remember that in some Part D plans there will be a "coverage gap" - a certain stage in the process when the patient is responsible for the whole cost if prescriptions until he reaches the out-of-pocket limit. Then, for the remainder of the calendar year, only a small co-pay or co-insurance will need to be paid.

Finally, if one is unable to afford Part D costs, additional help may be available, such as Medigap or Medicaid, based on the income and resource requirements.