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PDP-Facts: 2010 Beyond the Numbers -
    Part D State Plan Landscape Summarized

Select a state below to review the 2010 Medicare Prescription Drug Plan Landscape.
AK AL AR AZ CA CO CT DC DE FL GA HI IA ID IL IN KS KY LA MA MD ME MI MN MO MS MT NC ND NE NH NJ NM NV NY OH OK OR PA RI SC SD TN TX UT VA VT WA WI WV WY

» Charts & Figures   » Summarized in Plain Text   » Print Version

Beyond the Numbers:

Alaska’s 2010 Medicare Part D plan choices in plain text

Based on the 2010 Medicare Part D plan information released by the Centers for Medicare and Medicaid Services (CMS), Alaska seniors and Medicare beneficiaries will find that 2010 will bring a number of changes to prescription drug coverage and they should be prepared to examine their current 2009 plans closely to see what changes are on the horizon for 2010.

Please note that the information we provide below is based only on stand-alone Medicare Part D prescription drug plans (or PDPs).  As many people know, a number of the Medicare Advantage plans also include comprehensive prescription drug coverage, along with Medicare Part A (hospitalization) and Medicare B (physician) benefits (also called MA-PD plans).  However, because MA-PDs include many additional features (including Part A & B coverage) as compared to a stand-alone Medicare Part D plan, we do not try to compare the stand-alone drug plans directly with MA-PDs.

What is new for 2010 Medicare Part D Prescription Drug Plans?

First, the number of prescription drug plans available in Alaska has decreased.
Fifteen (15) companies from 2009 will once again offer 2010 Medicare Part D plans in most states across the country.  In addition, a wide assortment of regional and local Medicare Part D plans are offered within each state or CMS region, with the average number of prescription drug plans offered per state decreasing from 49 plans in 2009 to 46 plans in 2010.

Locally, Alaska residents will find that the total number of stand-alone Medicare prescription drug plans has decreased from 45 in 2009 to 41 in 2010.

As a note, if you find that your current 2009 Part D plan is not being offered in 2010, you may wish to review your Part D plan’s Annual Notice of Change (or ANOC) letter to see if you will be automatically moved to another 2010 prescription drug plan or whether you will need to actively choose a new Medicare Part D plan for 2010.

92% of Alaska seniors can expect to see their monthly prescription drug plan premiums increase in 2010 although the average monthly permium will decrease.
Across the country, the national average monthly Medicare Part D premium will increase from $45.46 in 2009 to $46.58 in 2010.  Based on the 2009 enrollment figures, 81% of Medicare Part D beneficiaries nationwide (over 13 million people) could experience an average increase in premium of $5.47, unless they switch to a lower priced plan.  At home, Alaska residents will also notice a decrease in their Medicare Part D premiums.  Even with the decrease, 92% of Alaska seniors and other Medicare beneficiaries enrolled in a stand-alone Medicare Part D plan, (or around 20,729 people) will see an average increase in monthly premiums of 5.48 in 2010 -- if they do not switch to a lower cost prescription drug plan.  Overall, monthly 2010 prescription drug plan premiums in Alaska will decrease -0.85% from a 2009 average monthly cost of $52.82 to a 2010 average Part D plan premium of $51.97.

The average monthly premiums discussed above treat all Medicare Part D plans equally.  Perhaps a more telling average is the weighted average - that is, looking at each plan’s monthly premium based on number of people enrolled in that plan.  Based on the weighted average, Alaska residents can expect to see a 11% reduction in their monthly premiums. This means that if everyone stays in their current 2009 prescription drug plan through 2010, then across the state we can expect beneficiaries to pay 11% less for their monthly premium.

The range of monthly drug plan premiums will increase.
Across the country, 2010 Medicare Part D plan premiums range from a low of $8.80 (First Health Part D-Secure (PDP) in OR WA) to a high of $120.20 (Blue Rx Enhanced (PDP) in DC DE MD) .  Comparatively, the premiums within Alaska will range from $23.80 (Aetna Medicare Rx Costco Plus Plan (PDP) in AK) to $99.80 (Medco Medicare Prescription Plan - Access (PDP) in AK) - as compared to the 2009 Alaska monthly premium range of $23.10 to $112.90.  Of those 2010 plans, 1 plans will have a premium under $25 (in 2009, 2 Part D plans were offered in Alaska with a premium under $25). 

Fewer Medicare prescription drug plans will offer some level of coverage gap protection.
The selection of prescription drug plan coverage options has also changed with fewer companies offering 2010 Part D plans with donut hole coverage.  In 2009, 11 plans offered plans with some form of donut hole coverage and in 2010 that number will decrease to 7.  People are reminded to see what drugs are actually covered in the donut hole because some Part D plans only cover a "few" drugs through the coverage gap.

Less Medicare prescription drug plans will offer plans with enhanced options.
Alaska residents will find that less Part D plans will offer enhanced prescription drug coverage options with 21 enhanced Part D plans in 2010 as compared to 24 in 2009.  Enhanced Medicare Part D coverage includes prescription drug plans that have a lower or no initial deductible and a variation of cost-sharing (for instance, copayments instead of co-insurance).  For example, in 2010, fewer Alaska Part D plans will offer prescription drug coverage with a $0 initial deductible (16 in 2010 as compared to 25 in 2009).

Low-Income Subsidy Recipients in Alaska will have less Part D plans that qualify for the $0 monthly premium.
Alaska Medicare beneficiaries who qualify for full "Extra Help" will find that fewer Part D plans qualify for the $0 premium Low-Income Subsidy as compared to last year.  In 2009, 7 Medicare Part D plans qualified for the $0 premium Low-Income Subsidy as compared to 5 Part D plans in 2010.  Please note, if you received "Extra Help" in 2009 and your plan does not qualify for the $0 premium in 2010, you may be automatically moved to a new Part D plan that does qualify for the $0 premium.  If this occurs, please check to be sure that your prescriptions are covered on your new plan.  If they are not, you can switch to a plan which will cover your medications.

So what is the Bottom Line? Review your 2010 Medicare prescription drug plan options.
Alaska seniors and Medicare beneficiaries will see fewer prescription drug plan choices in 2010 and lower premiums. 

In addition, behind the numbers, some of 2009’s more popular Medicare Part D plans will change their 2010 plan structure.  Some plans are adding initial deductibles or changing cost-sharing limits (for instance, how much you pay after for a covered drug).  Also, some plans actually change the initial coverage limit defining when you enter the coverage gap.  For instance, the Coventry AdvantraRx Part D plans, will now have a $100 initial deductible (where the 2009 plan had a $0 deductible) and change their cost-sharing structure from co-payments to co-insurance.  It goes without saying that Alaska seniors could be unpleasantly surprised by the changes in 2010 plans. 

Accordingly, people are reminded to consider their 2010 prescription drug plan options carefully.  If you are a Medicare beneficiary and make no decision to change your existing prescription drug coverage, you will be automatically reenrolled in your existing prescription drug plan - along with any changes that have been made in coverage or cost for 2010.  If your prescription drug plan is discontinued, and you are not automatically moved into a new plan, then you will need to enroll in another Part D plan or not have prescription drug coverage in 2010. 

For more information, Q1Medicare.com has developed national and state one-page interactive summaries of prescription drug plan information.

Questions? Please let us know by clicking here for our Customer Help Desk.

» Charts & Figures   » Summarized in Plain Text   » Print Version

(Chart Source: Centers for Medicare and Medicaid files: 2010LandscapeSourceData_PDP_09_17_09.xls, 2009LandscapeSourceData_PDP_09_18_08.xls, 2008LandscapeSourceData_PDP_09_25_07.xls, and provider websites)





Last updated on: 09/29/2009


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Tips & Disclaimers
  • The Medicare Advantage and Medicare Part D prescription drug plan data on our site comes directly from Medicare and is subject to change.
  • Medicare has neither reviewed nor endorsed the information on our site.
  • We provide our Q1Medicare.com site for educational purposes and strive to present unbiased and accurate information. However, Q1Medicare is not intended as a substitute for your lawyer, doctor, healthcare provider, financial advisor, or pharmacist. For more information on your Medicare coverage, please be sure to seek legal, medical, pharmaceutical, or financial advice from a licensed professional or telephone Medicare at 1-800-633-4227.
  • We are an independent education, research, and technology company. We are not affiliated with any Medicare plan, plan carrier, healthcare provider, or insurance company. We are not compensated for Medicare plan enrollments. We do not sell leads or share your personal information.
  • Benefits, formulary, pharmacy network, provider network, premium and/or co-payments/co-insurance may change on January 1 of each year. Our PDP-Compare.com and MA-Compare.com provide highlights of annual plan benefit changes.
  • The benefit information provided is a brief summary, not a complete description of benefits. For more information contact the plan.
  • Limitations, copayments, and restrictions may apply.
  • We make every effort to show all available Medicare Part D or Medicare Advantage plans in your service area. However, since our data is provided by Medicare, it is possible that this may not be a complete listing of plans available in your service area. For a complete listing please contact 1-800-MEDICARE (TTY users should call 1-877-486-2048), 24 hours a day/7 days a week or consult www.medicare.gov.
  • When enrolling in a Medicare Advantage plan, you must continue to pay your Medicare Part B premium.
  • Medicare beneficiaries with higher incomes may be required to pay both a Medicare Part B and Medicare Part D Income Related Monthly Adjustment Amount (IRMAA). Read more on IRMAA.
  • Medicare Advantage plans that include prescription drug coverage (MAPDs) are considered Medicare Part D plans and members with higher incomes may be subject to the Medicare Part D Income Related Monthly Adjustment Amount (IRMAA), just as members in stand-alone Part D plans. In certain situations, you can appeal IRMAA.
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  • If you are enrolled in a Medicare plan with Part D prescription drug coverage, you may be eligible for financial Extra Help to assist with the payment of your prescription drug premiums and drug purchases. To see if you qualify for Extra Help, call: 1-800-MEDICARE (1-800-633-4227). TTY users should call 1-877-486-2048, 24 hours a day/ 7 days a week or consult www.medicare.gov; the Social Security Office at 1-800-772-1213 between 7 a.m. and 7 p.m., Monday through Friday. TTY users should call, 1-800-325-0778; or your state Medicaid Office.
  • Medicare evaluates plans based on a 5-Star rating system. Star Ratings are calculated each year and may change from one year to the next.
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  • Disclaimer for Institutional Special Needs Plan (SNP): This plan is available to anyone with Medicare who meets the Skilled Nursing Facility (SNF) level of care and resides in a nursing home.
  • Disclaimer for Dual Eligible (Medicare/Medicaid) Special Needs Plan (SNP): This plan is available to anyone who has both Medical Assistance from the State and Medicare. Premiums, co-pays, co-insurance, and deductibles may vary based on the level of Extra Help you receive. Please contact the plan for further details.
  • Disclaimer for Chronic Condition Special Needs Plan (SNP): This plan is available to anyone with Medicare who has been diagnosed with the plan specific Chronic Condition.
  • Medicare MSA Plans combine a high deductible Medicare Advantage Plan and a trust or custodial savings account (as defined and/or approved by the IRS). The plan deposits money from Medicare into the account. You can use this money to pay for your health care costs, but only Medicare-covered expenses count toward your deductible. The amount deposited is usually less than your deductible amount, so you generally have to pay out-of-pocket before your coverage begins.
  • Medicare MSA Plans do not cover prescription drugs. If you join a Medicare MSA Plan, you can also join any separate (stand-alone) Medicare Part D prescription drug plan
  • There are additional restrictions to join an MSA plan, and enrollment is generally for a full calendar year unless you meet certain exceptions. Those who disenroll during the calendar year will owe a portion of the account deposit back to the plan. Contact the plan provider for additional information.
  • Medicare beneficiaries may enroll through the CMS Medicare Online Enrollment Center located at www.medicare.gov.
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