What can you expect from 2014 stand-alone Medicare Part D plans?
Annual Medicare plan changes · published Sep 20, 2013
Some Medicare Part D plans are still sanctioned.
Please note that, as of now, both SilverScript and SmartD Rx are still under CMS sanction, not yet accepting new enrollment, and not included in the 2014 CMS Medicare Part D landscape data (or our statistics) – but, these plans should be available in 2014 (but perhaps only accessible to current plan members).
Some of the popular 2013 Medicare Part D plans will be changing in 2014.
You may notice that some of the most popular Medicare Part D plans will be changing their names in 2014. For example, the 2013 Humana Walmart-Preferred Rx plan will be called the Humana Preferred Rx plan in 2014, and Humana will introduce a new 2014 Humana Walmart Rx plan. You can see more 2014 Medicare Part D plan changes using our PDP-Compare tool found here: PDP-Compare.com/2014.
Overall, you can expect that your monthly Medicare Part D premium will increase.
You may also see an increase in your 2014 monthly plan premiums – unless you change Medicare Part D plans. Based on plan enrollment or popularity, about 73% of the people enrolled in a 2013 Medicare Part D plan will see an average monthly premium increase of around $6.00 per month – that is, if these people stay with their current 2013 prescription drug plan into 2014 instead of enrolling into another, more affordable Medicare Part D plan.
2014 Medicare Part D Plans will be available with lower premiums.
However, the good news is that, as noted in our 2014 PDP-Facts, most people will have access to a lower-costing 2014 Medicare Part D plan or a Medicare Advantage plan that provides prescription coverage. In 2014, there is an increase in the number of Part D plans being offered with a monthly premium under $25. Across the country, people will find that the lowest costing 2014 Medicare Part D plan will be offered by Humana (at around $12.60 per month). In comparison, the lowest costing 2013 Medicare Part D plan was offered by AARP/United HealthCare ($15.00 in 2013, increasing to between $19.00 and $29.50 in 2014 depending on your state).
Fewer Medicare Part D plans with Donut Hole Coverage.
In 2014, you may notice fewer Medicare Part D plans offering some type of Donut Hole or gap coverage. And no 2014 stand-alone Medicare Part D plan will offer complete generic drug coverage while in the gap, as was available in 2013. Like past years, no 2014 Medicare Part D plan offers complete Donut Hole coverage. However, with the Donut Hole Discount, seniors will still be able to save some money if they enter the 2014 Coverage Gap portion of their Medicare Part D plan, with the generic drug discount increasing to 28% and the brand-name drug discount remaining at 52.5%.
Still Medicare Part D plan options qualifying for full-LIS $0 premium.
For seniors and other Medicare beneficiaries who qualify for the full Low-Income Subsidy (LIS) or Extra Help program, a generous number of 2014 Medicare prescription drug plans qualifying for the $0 monthly premium will be offered in most states. Yet, residents of several states, including South Carolina, New York, Maine, and Hawaii, will find significantly fewer LIS-qualifying 2014 Medicare Part D plans. Please remember that, if you are a Medicare beneficiary receiving financial Extra Help, you may need to move to a new Medicare Part D plan in 2014 to receive this $0 premium benefit.
Bottom Line: As in past years, you may be able to save money on your stand-alone Medicare Part D prescription drug plan – just by switching to a lower-costing Medicare Part D plan. Your current 2013 Medicare plan provider will send you an Annual Notice of Change (ANOC) letter in late-September or early October – and you will have plenty of time to study your options before the start of the annual Open Enrollment Period beginning on Tuesday, October 15th and continuing through Saturday, December 7th.
Looking for more details? In addition to the information in this Blog, you can also find an interactive summary of the 2014 Medicare Part D prescription drug plans on both a national and state-by-state level online at PDP-Facts.com/2014.
Please note, Medicare Advantage plan details will be presented in a separate Blog. The information we provide above and on our Medicare Part D plan summaries are based only on stand-alone Medicare Part D prescription drug plans (or PDPs). A number of the 2014 Medicare Advantage plans in your area may also include comprehensive prescription drug coverage, along with Medicare Part A (hospitalization) and Medicare B (out-patient and physician) benefits (these plans are also called MA-PD plans). We will provide a separate Blog looking closer at the 2014 Medicare Advantage plans and the additional coverage details of the 2014 Medicare Part D plans.
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