Stand Alone Drug Plans
A stand-alone drug plan is needed when you have a Medicare Supplemental plan since it has no drug coverage included. The drug plans have a monthly cost of approximately anywhere from $20 to $100 dollars a month. Most HMO and PPO plans have drug coverage built inside the plan. (you can not add a drug plan to an HMO or PPO)
A drug plan is also known as Part D. No matter what type of plan, Medicare will penalize you if you do not get a drug plan when you first become eligible for Medicare, except in some circumstances such as you are currently working and have drug coverage with your group insurance plan.
Medicare offers prescription drug coverage to everyone with Medicare. If you decide not to join a Medicare Prescription Drug Plan when you’re first eligible, and you don’t have other creditable prescription drug coverage, or you don’t get Extra Help, you’ll likely pay a late enrollment penalty. To get Medicare drug coverage, you must join a plan run by an insurance company or other private company approved by Medicare. Each plan can vary in cost and the drugs covered.
