what you need to know about medicare part d - 2013
DESCRIPTION
What you need to know about Medicare Part D - 2013TRANSCRIPT
Pharmacy Outreach ProgramThe University of Rhode IslandThe University of Rhode Island
College of Pharmacy
Updated October 2012
MEDICARE Medicare provides health insurance for…
A d 65 ld Aged 65 years or older Aged 65 years or less with certain disabilities
All l ith E d St R l Di (ESRD) All people with End-Stage Renal Disease (ESRD) All people with Lou Gehrig’s Disease (ALS)
THE PARTS OF MEDICARE Part A
Hospital insurance Hospital insurance Part B
Medical insurance Medical insurance Medicare Advantage Plans
Part D Prescription drug coverage
Medicare Part A Covers:
Inpatient hospital care Skilled nursing facilities (Under
certain conditions)certain conditions)
Typically doesn’t require a monthly payment (Premium)
Does require out-of-pocket deductible for hospital stays (in 2012): $1,156 of 1-60 days
$289 d f d 61 90 $289 per day co-pay for days 61-90 $578 per day co-pay for days 91-150 All costs beyond 150 days
For skilled nursing facilities:For skilled nursing facilities: $144.50 per day for days 21 through
100 for each benefit period
Medicare Part B Helps cover: p
Physician services Durable medical equipment Physical therapists
Also covers other services and Also covers other services and supplies: Glucose monitors Test strips Lancets Lancets
There is a monthly premium to enroll The standard Part B premium for 2013 is
$120.20 per month (income based) In general, automatically deducted from
social security checks Once deductible is paid enrollee generally
pays a 20% co-payment for each servicepays a 20% co payment for each service
Medicare Advantage (Part C) Health insurance
coverage, including preventative care PLUSpreventative care PLUS prescription drug coverage in a single plan
In exchange, typically must use a certain
t k f d tnetwork of doctors, hospitals, and pharmacies (HMO, PPO)
Medicare Advantage 6 plans available in Rhode Island
If you already have a Medicare Advantage plan and you want to add drug coverage you MUSTadd drug coverage you MUSTobtain it through your Medicare Advantage provider. If you obtain an independent standalone
drug plan instead, your health coverage under the Medicare Advantage plan will stop.
Medicare Advantage Annual Enrollment Period in 2012
October 15‐December 7, 2012
Can choose to leave current Medicare Advantage plan to switch to an Original Medicare planswitch to an Original Medicare plan Can add prescription coverage ‐ Part D
MEDICARE PART DMEDICARE PART D Stand-alone prescription drug coverage
Open to all people eligible for Medicare
Open enrollment begins October 15, 2012Open enrollment begins October 15, 2012 Enrollment for coverage of the year 2013
ends on December 7, 2012, Coverage Begins on January 1st, 2013
M di P t D i VOLUNTARY!!Medicare Part D is VOLUNTARY!!
Wh C I E llWhen Can I Enroll in a Part D Plan?
Re-enrollment begins October 15th, 2012!
in a Part D Plan?
Your new plan will take effect January 1st, 2013
If you are happy with your current part D plan, youIf you are happy with your current part D plan, you don’t need to do anything during the re-enrollment period! Your Med D plan will automatically re-enroll you But be aware::::: your premiums, co-pays,
formulary or deductible may be changed forformulary, or deductible may be changed for the new year!
Enrollment Info NEW Open enrollment is from
Oct 15 – Dec 7th 2012 of each year Dates just changed Dates just changed
Coverage begins on January 1, 2013
If you become eligible for Medicare Part D after the enrollment period, you have a 7 month period toyou have a 7 month period to enroll without incurring a penalty
3 months before, the month of and 3 months after the month of your 65th birthday
Who Should Apply? People who are enrolled in a Med D plan right now,
but thinking about switching to another plan next year
You didn’t sign up for a plan when eligible last time around but you’re thinking of enrolling now
Penalt for e er month itho t co erage Penalty for every month without coverage
Enrolled in a Medicare Advantage Plan or Medigap g g pSupplemental Insurance Plan but you want to add or change your drug coverage
People who have major changes in the medicationsthey take on a daily basis
Who Doesn’t Need To Apply If you have CREDITABLE Coverage:
This means that you already are enrolled in a plan that provides a prescription drug benefit that is EQUIVALENT or better than thatprescription drug benefit that is EQUIVALENT or better than that being offered through Medicare Part D
You would have already been made aware of this by your insurance provider by mail
KEEP THIS LETTER IN A SAFE PLACE** KEEP THIS LETTER IN A SAFE PLACE**
**If you are unsure if your coverage isIf you are unsure if your coverage is creditable or not, ask your employer or union for it!**
Penalty Info If you did not enroll but were eligible to do so,
when you enroll now for coverage beginning on J 1 2013 ill i lt f 1%Jan.1, 2013 – you will incur a penalty of 1% per month of average premium
Will have to wait until 2013 enrollment period to join a Medicare drug plan if don’t do so now!
Average premium 2013 = $31 17 Average premium 2013 = $31.17 1% of $31.17 = $0.31 12 months penalty= $3.74 Therefore, $3.74 will be added on to your
monthly premium every month forever!
Penalty Info
You will not have this l f dpenalty enforced:
If you were not previously y p yeligible for Medicare Part D
If you previously had y p ycreditable coverage
Affordable Care Act Changes Lower costs during donut hole:
Patients pay 47.5% of brand name drugs Discount of generic drugs will raise from 21% this year Discount of generic drugs will raise from 21% this year
Better Quality care: Bonus payments from the government will give p y g gincentives to Medicare Advantage plans with better quality care
HOW PART D WORKS Remember::: this is just an explanation of the
template used as a general basis for the plans there are options!--there are options!
STANDARD PLAN (2013) $31 17 per month premium ($374 04) $31.17 per month premium ($374.04) $325 deductible 75% coverage from $320 to $2,970g New limited coverage from $2,970 to $6,733.75 Patient pays 50% of Brand Drugs and up to 86% of
generic drugsgeneric drugs This is called the coverage gap or “Donut Hole”
95% coverage beyond $6 733 7595% coverage beyond $6,733.75
HOW PART D WORKSC t t hi C
HOW PART D WORKSCatastrophic Coverage> $6733.75 Medicare Pays
95%
Donut hole - $2970 –$6733.75
5%
47.5%-79%
Co-Insurance : $325-2970
$
75% 25%
0 - $325 is your Deductible You Pay 100%
New Change for Donut hole, will only spend 47.5% out of pocket for brand name and 79% maximum for generic drugs!!!
Think of it as Steps! Step #1 – The Deductible
You pay 100% and plan pays 0%Y i $325 h
Medicare Pays You receive $325 worth
of medications
St #2 C i5%
ed ca e ays95%
Step #2 – Co-insurance You pay 25% and plan
pays 75% Yo recei e $2645 orth
47.5%-79%
You receive $2645 worth of medications
(Total: Step 1 + Step 2 = $2970)
75% 25%
$2970)You Pay 100%
Think of it as Steps!o t as Steps! Step #3 – The Donut Hole
N h l t New changes let you pay 47.5% of brand drugs Max of 79% generics
You receive $3 763 75 Medicare Pays You receive $3,763.75 worth of medications
Total: Step 1 + Step 2 + Step 3 = $6733.75 5%
Medicare Pays95%
47.5%-79%
p $ New discounts!
Step #4 – Catastrophic Coverageg You pay 5% and plan
pays 95% You receive unlimited
75% 25%
drugs for the remainder of calendar year You Pay 100%
Remember! Even though you were
enrolled in a program last year, p g y ,you start from the Step #1 all over again on January 1, 2013
You will continue to pay the premium every month regardless of what stepevery month regardless of what step that you are on Even when in the “donut hole” a
person still pays the monthly premium!
Besides Standard Plan… Must offer basic/standard drug benefit
May offer enhanced benefit
Some have no deductible
Some have help during “donut hole” (coverage gap) Some have help during donut hole (coverage gap)
The Premium depends on the enhancements
Mail order options may save costs on maintenance medications (90 days)
Explaination of Benefits A statement sent by your insurance company telling you which medical services were paid for by them.I l d Includes: The service: date/place service provided Doctors fee and what was paid by them Doctors fee and what was paid by them Remainder that the patient is responsible for
To show you what portion the insurance is paying for and which portion you are.p y
How Do I Choose The Right Plan?CRx Enrollment Check-Up:
CostWill i d t h i 2013? Will your premium and costs change in 2013?
CoverageWill you need more comprehensive coverage?Will your current meds be covered by your plan?No that don t hole is partiall co ered is s itching aNow that donut hole is partially covered, is switching a
better option?
Customer ServiceCustomer Service Are you satisfied with your service from your current plan?
Side Note: If you decide that your
current Med D plan willcurrent Med D plan will meet your needs in 2013 then you do not needthen you do not need to re-enroll
Coverage will continue through 2013 starting from Step 1
Plans AvailablePlans Available in RI for 2012in RI for 2012
Total of 30 prescription plans offered
14 l il bl ith NO d d tibl ! 14 plans available with NO deductible!
20 Plans without gap coverage Monthly premiums start at $15 AARP MedicareRx Saver Plus Monthly premiums start at $15 AARP MedicareRx Saver Plus
10 Plans with gap coverage Monthly premiums with gap coverage start at $39 and go up to y p g p g $ g p
$114 Lowest premiums have only generic coverage
All Medicare patients are eligible for a Medicare advantage plan
What is a F l ?Formulary?
Formulary system Formulary system Each plan selects certain drugs
from each drug class that they will coverfrom each drug class that they will cover May have a tier system
May have up to 5 tiersy p Generic drugs = cheapest (ex: $5) Preferred brand names = more expensive (ex: $28) Non-preferred brand names = most expensive (ex: $40) Non preferred brand names most expensive (ex: $40) Certain injectable and specialty drugs= highest tiers
(ex: $58)
Drugs Not Covered Under Most Part D FormulariesPart D Formularies
Benzodiazepines Drugs for cosmetic BarbituratesWeight loss
purposes or hair growthWeight loss
Erectile dysfunctionCough & cold relief
Fertility drugsPrescription Cough & cold relief
Non prescription drugs
pvitamins, minerals Except prenatal vitamins
and fl oride preparationsdrugs and fluoride preparations
Definitions: Generics: will be required to be covered by ALL plans
Chemically identical to brand‐name drugs and meet the same rigorous standards put forth by the FDA (US Food and Drug Administration) for: Safety, Purity, Effectiveness
Generic drugs can be legally produced in the US if a patent has expired, or for drugs which have never been patented
Prior authorization: may be needed for some medications Appeal process mandated by insurance company which includes paperwork
involving the MD
Step Therapy: may be required before certain medications will be covered Step Therapy: may be required before certain medications will be covered ex: Prilosec before Nexium, or Motrin before Celebrex
Quantity limits: may be enforced 30 day quantities retail vs. 90 day mail-order
Some plans DO allow 90 day quantities of maintenance medicines at community pharmacies.
Frequently Asked Questions
Who pays for my vaccines? Now Medicare part D must
cover all vaccines not covered by part Bcovered by part B Ex: Zostavax (Shingles vaccine)
Vaccines covered by part B Pneumococcal InfluenzaInfluenza Hepatitis B Vaccines necessary to treat a
disease or prevent one after directdisease or prevent one after direct exposure Ex: tetanus
WHAT ABOUT MY RIPAE? You SHOULD keep your RIPAE!
It will provide coverage throughout the deductible & coverage gapthe deductible & coverage gap
BUT, it is not creditable coverage You need a Medicare Part D Plan too RIPAE is only available for those enrolled in a Medicare
part D plan Must send in copy of enrollment letter or card
See your SHIP counselor or call The Point for RIPAE yinformation
RIPAE…
Provides extra benefit for those who don’t lif f t h l f M diqualify for extra help from Medicare
Applicable to all expenses that i 100% ibl fperson is 100% responsible for:
Deductible Coverage gap (“Donut Hole”) Coverage gap ( Donut Hole ) Drugs not covered under your Part D Plan
Only certain ones!y
RIPAE… Eligible: Eligible:
Single, income less than $45,991 per year Married, income less than $52,561 per year, $ , p y The lower the financial category,
the higher percentage RIPAE will pay
More information:401-462-4444 The Point
Wrong phone number on Medicare & You 2008 Booklet!Booklet!
Talk to SHIP counselor
What About My Tricare, VA, Pension Benefits?,
They are creditable coverage, l tt h b t i il!letters have been sent in mail!
H ld t th l tt ! Hold on to these letters!
Contact your pension benefits Contact your pension benefits manager or union if you have any questionsy q
Dual Eligibles (Medicare/Medicaid)g ( / ) Will automatically be eligible for:
No premiumN d d tibl No deductible
No donut hole Minimum co-payments ($1.10 generic & $3.30 brand)
Have been automatically enrolled in a plan & will be automatically re-enrolled in a plan Part D plan for 2013 won’t necessarily
b th l 2012be the same plan as 2012
Reassignment notices are being sent out Enrollment confirmations will followEnrollment confirmations will follow If you are “dually eligible,” you can change your
plan at any time during the year! Once per month!
What is Extra Help? (Low Income Subsidy)(Low Income Subsidy) Federal poverty limits determined
by government each year Best to apply and be formally denied
Many deductions, so apply! In order to be eligible a person’s resourcesIn order to be eligible, a person s resources
must be no greater than the limits established
Single* Married*Yearly Income <$16,335 <$22,260
Resources <$12 640 <$25 260Resources <$12,640 <$25,260
*Includes $1,500 per person burial expenses
“Deemed” Population Defined as those who had Low Income Subsidy
(LIS) for 2012 & are not automatically eligible for 20132013
Notifications being sent out with applications to re-enroll
Does not mean that you are not eligible Reapply!!!
Check with your SHIP counselor or The Point Check with your SHIP counselor or The Point
Ways to Lower Your Drug CostsWays to Lower Your Drug Costs During the Coverage Gap
Ask your doctor about generic and less expensive brand name drugs (therapeutic substitutions) Cheaper in the gap Less likely to hit the gap if avoid brand
name medications from the beginning!
Ask your doctor for samples Pharmaceutical Assistance Programs
A il bl f th h ti l f t Available from the pharmaceutical manufacturers Contact the Partnership for Prescription Assistance
1-888-477-2669
Ways to Lower Your Drug CostsWays to Lower Your Drug Costs During the Coverage Gap
State Pharmaceutical Assistance Programs RIPAERIPAE
Based on your income, RIPAE will pay 15%, 30%, or 60% of drug cost during coverage gap
Apply for Extra Help If you have limited income and y
resources, you may qualify for extra help
For more information go to www.socialsecurity.gov or call1-800-772-1213
New Medicare Changes Changes in amount covered during
the Coverage Gap!47 5% f b d i ti (↓ f 47.5% for brand name prescriptions (↓ from 50%)
79% for generic prescriptions (↓ from 86%)
G t C f ti Greater Coverage for preventive medical services Depression Cardiovascular Disease Alcohol Abuse Obesity
What if I Like A Plan & OneWhat if I Like A Plan & One of My Drugs is Not Covered?
Options: Ask your pharmacist about
therapeutic substitutiontherapeutic substitution Compare prescription vs. over-the-
counter (OTC) optionsN i $158 00 Nexium $158.00
Prilosec OTC $21.99 Omeprazole Rx- lowest cost or co-pay
Always consult with your doctor regarding changes to yourregarding changes to your medications
D th t N t C d bDrugs that are Not Covered by ANY Part D Plan
Can still get these drugs but must pay the retail price (“cash”) and it does not count towards outprice (“cash”) and it does not count towards out of pocket expenses or total drug costs
Examples:Examples: Benzodiazepines
alprazolam, lorazepam, diazepamp , p , p Drugs for weight loss, hair loss, and fertility Drugs covered under Medicare parts A and B
Example: Drugs received while in the hospital, diabetic testing supplies
Medicare Fraud
The vast majority of your health care providers are itt d t idi ith hi h litcommitted to providing you with high quality care…
However, there are some individuals who cheat the t t f illi f d ll hi h lt isystem out of millions of dollars, which results in
higher premiums for its members. Be very cautious when dealing with your Medicare information, &
h it ith di l f i l lnever share it with a medical professional unless you are absolutely certain that they need it.
Never share your Medicare information over the phone with someone else!someone else!
Using the Internet Get a complete list of your medications
Include all prescriptions-eye drops, creams, inhalers, patches, etc.
Go to www.Medicare.gov and click on “Formulary Finder” Follow the prompts and enter your medicationsFollow the prompts and enter your medications
Can also call 1-800-MEDICARE (1-800-633-4227) Can enroll on line—have your Medicare card ready CVS and Walgreens both have websites to condense your
search of possible plans Rite Aid has plan finding software, just call your Rite Aid e d as p a d g so a e, jus ca you e d
pharmacist and schedule a time to choose a plan
Important DatesImportant Dates to Rememberto Remember
October 1- Compare and PrepareOctober 1 Compare and PrepareOctober 15- Open Enrollment BeginsDecember 7- Open Enrollment EndspJanuary 1, 2013- Coverage Begins
In summary…. No single plan is best for everyone
You must pick the plan that’s right for YOU!
Yes, it is confusing! Don’t be afraid to ask for help: The Point!!! (401) 462-4444 SHIP counselors at your local Senior Center SHIP counselors at your local Senior Center Dept. of Elderly affairs (401) 462-4000 Ask a relative or friend to help you navigate the Web Social Security Administration 1 800 772 1213 Social Security Administration 1-800-772-1213 Pharmacy Outreach Program 1-800-215-9001
www.uri.edu/pharmacy/outreach
THANK YOU!