Based on the recently released 2020 Centers for Medicare and Medicaid Services (CMS) Medicare Part D prescription drug plan (PDP) landscape data, most states will offer more of Medicare Part D plans qualify for the Low-Income Subsidy (LIS) $0 premium benchmark in 2020 as compared to 2019.   Thirty-five (35) states will add LIS qualifying plan options, 13 states will continue to have the same number of options, and three (3) states will be losing  LIS $0 premium qualifying Medicare Part D plan options.


As an example of state plan changes, North Carolina will offer nine (9) LIS $0 premium qualifying 2020 Medicare Part D plans as compared to the seven (7) LIS-qualifying plans in 2019.

Alternatively, Ohio will be losing five LIS $0 qualifying Medicare Part D plan in 2020, so lower-income Ohio residents will only have access to two 2020 Medicare Part D plans qualifying for the state’s Low-Income Subsidy (LIS) $0 premium benchmark.

The state with the smallest selection of $0-premium LIS Medicare Part D plans is . . .

The state with the smallest selection of 2020 Medicare Part D plans qualifying for the LIS $0 premium will now be Ohio offering only two (2) LIS $0-premium qualifying Medicare Part D plans.  In the past, Florida usually had the smallest number of LIS plans, however in 2020 Florida will add two (2) new LIS plan and will offer four (4) LIS $0-premium qualifying Medicare Part D plans.

The state with the largest selection of LIS-qualifying $0 premium Medicare Part D plans is . . .

The state offering the largest selection of $0 premium LIS plans will continue to be Arizona with 12 LIS plans.

The state with the largest number of LIS recipients is . . .

The state with the most Medicare beneficiaries qualifying for the low-income subsidy (LIS or Extra Help Program) is California (almost 1.6 million “Extra Help” recipients).   In 2020, California LIS recipients will have eight (8) Medicare Part D plan choices qualifying for the $0 premium (up from seven LIS $0 premium Part D plans in 2019).

Which Medicare Part D plan providers are offering 2020 LIS-qualifying plans?

From our national stand-alone PDP-Facts page, here is a table showing a comparison of the 2019 and 2020 Medicare Part D plans qualifying for the $0 premium Low-Income Subsidy.

$0 Premium LIS Qualified stand-alone Medicare Part D Plans

    Note: Click heading above to see plan details in California or choose your state.
               Please note, not all plans are available in every state.

Historical changes in the number of LIS-Qualifying Medicare Part D plans

On the positive side, the chart below shows that the average number of LIS-qualifying plans has stabilized to some extent over the past several years even as the national stand-alone Medicare Part D landscape has changed.


A few more 2020 LIS $0 premium facts:

• Ohio is losing five (5) LIS $0 premium plans
• Maine and New Hampshire are losing one LIS $0 premium plan
• Thirteen (13) states have no change in the number of LIS $0 premium plans being offered
• Eighteen (18) states are gaining one LIS $0 premium plan
• Seventeen (17) states are gaining two LIS $0 premium plans

Which Medicare Part D plans qualify for the full Low-Income Subsidy $0 premium in your state?

Each year, insurance companies adjust their Medicare Part D plan premiums, and some Medicare Part D plans raise their premiums and move their prescription drug plans above the state low-income subsidy (LIS) benchmark limits, while other Part D plan sponsors lower their monthly premiums so that their plans can qualify for a state’s $0 premium.

This means that the number of Medicare Part D plans qualifying for the LIS $0 premium can change each year.  Click on the 2020 premium for your state in our state low-income subsidy (LIS) benchmark limits article to see qualifying plans in your state.

More on Medicare Part D Extra Help

The Medicare Part D Extra Help or the Low-Income Subsidy (LIS) is a federal program helping low-income Medicare beneficiaries pay a portion of their Medicare Part D prescription drug costs.  Based on a person’s income and financial resources, the Extra Help or LIS program pays all or part of a person’s monthly Medicare Part D plan premiums and a significant portion of the beneficiary’s medication costs.

If you qualify for the full-LIS program, you can choose a Medicare Part D plan that qualifies for your state’s $0 monthly premium or allow yourself to be automatically enrolled in a plan that qualifies for the $0 premium.  If you enroll in a Medicare Part D plan that does not qualify for the $0 premium, you will pay a portion of the premium.  The monthly premium amount you will pay is shown under the "Benefit Details" button on our Medicare Part D plan finder.


As can be seen in the above graphic, if you qualify for only "partial-LIS benefits" (such as 50% LIS), you will also only pay a portion of the plan's monthly premium.

Please note, our Medicare Part D plan finder allows you to view the premiums of a Medicare Part D plan based on whether you receive full - or partial-LIS benefits.

The PDP-Finder.com feature looks like this:




A Brief note about automatic plan reassignment and people who are "choosers"

Because of changes in the annual Medicare Part D plan premiums and state LIS benchmarks, some full low-income subsidy qualifying Medicare beneficiaries (such as people who are Medicare/Medicaid dual-eligible beneficiaries) may be automatically reassigned to new 2020 Medicare Part D plans that will still qualify for the $0 monthly premium.

However, Extra Help recipients who "chose" their own plan in the past (these beneficiaries are also referred to as "choosers") may not be auto-reassigned to a new 2020 LIS qualifying plan and may need to select a new 2020 Medicare Part D plan or Medicare Advantage plan that includes drug coverage that still meets the $0 monthly premium threshold (or pay the small monthly premium).  As reference, you can use our PDP-Finder to see LIS qualifying plans in your state.  Be sure to select “Yes, show only plans that qualify for $0 premium".  Click here to see an example for Texas.

Not sure where to begin?

For more information on Medicare Part D plans that qualify for your state's low-income $0 premium benchmark, please call Medicare toll-free at 1-800-633-4227 and speak with a Medicare representative to learn more about your Medicare Part D and Medicare Advantage plan options.