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Medicare Part D: How The Finances Work

Medicare Part D: How The Financial Structure Works

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Basically,  Part D plans cover drugs except for the following:

  • An annual deductible (an amount you pay each year before there is any coverage);
  • A co-pay you pay each time you buy a drug;
  • There is nso coverage for the cost of drugs purchased while you are in the so-called Doughnut Hole. The Doughnut hole starts once expenses reach a certain amount each year. It ends when expenses hit a higher amount. To learn more about the Doughnut Hole, including how to minimize your expenses if you are in the Hole, click here
  • Drugs which are not on the Plan's Formulary 

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