If your stand-alone Medicare Part D prescription drug plan (PDP) - or Medicare Advantage plan that includes drug coverage (MAPD) - has an initial deductible, you will usually pay 100% of your prescription drug costs until you have met the deductible.  For example, if your Medicare plan has a $405 deductible, you will pay retail price for your medications until you have spent $405 and then your plan coverage will begin (and you will only pay a portion of the retail cost, such as a $30 co-pay or 25% co-insurance on your medications).

Reminder:  Many 2018 Medicare Part D plans have certain drug tiers excluded from your initial deductible.  For example, you may find that your 2018 Medicare Part D plan has a $405 initial deductible, but the deductible only applies to medications on formulary Tier 3, Tier 4, and Tier 5 - and your lower-costing Tier 1 and Tier 2 drugs are covered before meeting the $405 deductible.

About 8.9 million people will only see a small $5 increase in their initial deductible.

The 2018 standard Medicare Part D prescription drug plan initial deductible will increase to $405 from the $400 standard deductible in 2017 and this small $5 increase in deductibles will impact about 8,900,000 people currently enrolled in a 2017 stand-alone Medicare Part D plan.

However, over 400,000 people will see an increase in their 2018 initial deductible of $30 or more.
In fact, approximately 408,000 stand-alone Medicare Part D beneficiaries are enrolled in PDP that will have an initial deductible increase from $30 to $85.

The chart below highlights some of the increases in 2017 / 2018 Medicare Part D plan deductibles.

As in past years, some stand-alone Medicare Part D plans (PDPs) have chosen to reduce their initial deductible for the 2018 plan year. Members of the Cigna-HealthSpring Rx Secure-Extra (PDP) will now have a $0 deductible in all states. Members of the Aetna Medicare Rx Saver (PDP) will have a change in initial deductible ranging from decrease of $115 (AR) to an increase of $70 (SC). About 1,300,000 members across various Medicare Part D plans will see a decrease of between $5 to $115.