Prescription Drug Plan (PDP)

A prescription drug plan (PDP) is a type of Medicare plan that helps cover the cost of prescription drugs for people with Medicare. These plans are offered by private insurance companies and are approved by Medicare.

The Medicare Prescription Drug Plan (Part D) is designed to help cover the cost of prescription drugs for those enrolled in Medicare. These plans are offered by private insurance companies, and are approved by Medicare. They are meant to help Medicare beneficiaries pay for the cost of prescription drugs which are not covered by traditional Medicare (Part A and B).

Enrolling in a PDP is voluntary, and beneficiaries can choose to enroll in a plan that covers only certain drugs or a plan that covers a wider range of drugs. The coverage can vary depending on the plan and the drugs that are covered. Some plans may have a monthly premium, an annual deductible, and a coinsurance or copayment for covered drugs. Some plan may have a coverage gap, also known as the "donut hole" which is a temporary limit on what the plan will cover for drugs.

It's important to note that PDPs are different from Medicare Advantage plans (Part C), which also offer prescription drug coverage, but also include additional benefits like vision, dental, and hearing coverage. Beneficiaries can choose to enroll in one or the other, or a combination of both.

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