Archive: Is the 75% Donut Hole discount always applied automatically when I buy my prescriptions?
Archive: Donut Hole Discounts · updated Jul 24, 2023
For instance, you will see a 75% discount applied to brand-name medication purchases (you pay 25% of your plan's negotiated retail price and get 95% of the retail value credited toward your out-of-pocket spending threshold or TrOOP) and also a 75% discount applied to generic medication purchases (you pay 25% of your Medicare plan's negotiated retail price, however, only the 25% you paid for your generic medication counts toward TrOOP).
As a reminder, you will usually see a record of your discounts listed on your monthly Explanation of Benefits letter that you receive from your Medicare Part D prescription drug plan.