Prescription Drug Plans

Medicare Part D – Prescription Drug Coverage

You can sign up for Medicare Part D, which helps cover prescription drug costs, starting three months before your 65th birthday. There are other enrollment periods that may apply to you as well. It’s important to enroll on time because there’s a penalty for late enrollment if you do not have equivalent drug coverage from another source, such as an employer plan or VA benefits.

If you are already enrolled in a Part D “standalone” plan or a Medicare Advantage plan that incorporates drug coverage, you can switch plans during AEP, which runs from Oct. 15 to Dec. 7 every year.

Out of Pocket Maximum

For 2025, you won’t pay more than $2,000 out-of-pocket for covered Part D drugs once you hit the out-of-pocket cap ($2,000 in 2025). You won’t pay a copayment or coinsurance for covered Part D drugs for the rest of the calendar year.

The Medicare Prescription Payment Plan is a new payment option that works with your current drug coverage to help you manage your out-of-pocket Medicare Part D drug costs by spreading them across the calendar year (January-December). All plans offer this payment option and participation is voluntary.

Choosing a good plan

It pays to review your Part D coverage every year. Our agents are available to assist in helping you choose the drug plan that’s right for you.

Getting financial help

To get the extra help in 2025, your total resources must be limited. Resources include the value of the things you own. Such as:

• Real estate (other than your primary residence);
• Bank accounts, including checking, savings and certificates of deposit;
• Stocks;
• Bonds, including U.S. Savings Bonds;
• Mutual funds;
• Individual Retirement Accounts (IRAs); or
• Cash at home or anywhere else.

To apply online or to see if you qualify for Extra Help visit: http://www.ssa.gov/medicare/prescriptionhelp

For more information, contact one of our agents who will help you find a plan that works for you.