Medicare Part D Plans and Coverage #1 – What To Consider
Beneficiaries of the medicare part D coverage have the choice to switch to another prescription plan. As usual, when switching insurance plans there are several items to look at and remember when looking at the different plans.
Examine the Premiums
With the research done, it’s presumed that premiums for the monthly premiums for the Part D plan will be roughly $40.72 for 2011. With most insurance coverages it is normal for the premiums to differ depending on the location and certain insurance plans will increase more than some others.
One thing to remember is that even though an insurance plan was cheaper when it was chosen does not necessarily mean that it is the best choice. Retiree’s that make more than $85,000 each year will have a premium increase that is paid out of their Social Security checks. Also, couples that make more than $170,000 each year will also see an increase in the premium that is taken out of their Social Security checks.
Examine All Additional Costs
There are also several other things to examine other than premiums to calculate the actual cost of the entire plan. These include:
a) the amount of the deductible
b) the amount of coinsurance
c) the amount of co-payments
d) and the amount that has to be paid before the coverage begins.
The Centers for Medicare and Medicaid Services has an excellent tool on their website so that all the expenses of some drugs would cost under other plans can be seen.
Examine the Formulary
Formulary is known as a list of all the drugs that are covered under Medicare Part D plans. They are usually divided up into tiers. Each tier will have separate out of pocket expenses. Beneficiaries that are happy with their coverage should still examine the formulary in their existing plan since their is a change in coverage amounts and they are also adding and taking away covered drugs in some of the formularies.
This is the first in a two part series on things to consider when shopping for Medicare Part D Plans Coverage.
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