Changes to Medicare Part D could mean some seniors will eventually pay more for their prescriptions.
The Trump administration announced the Part D subsidy program will end in 2027. Insurance expert John woods with Insurance Navigators says the impact will vary depending on the type of Medicare coverage someone has.
Woods says people enrolled in Medicare Advantage are expected to see minimal impact, while those with original Medicare and a supplemental Medigap Plan could see higher prescription costs.
“The people that are going to be impacted the most are people that have what we call original Medicare with a supplement or a medigap plan,” Woods said. “Those plans traditionally have been very low cost. The statistics say it’s going to go up about 10 bucks a month.”
Trump admin cutting Medicare Part D subsidy program
Woods says seniors have several options to help manage prescription costs.
The insurance expert recommends reviewing coverage and comparing plans to make sure you’re enrolled in one that offers the best price for the medications you need.
The Medicare Extra Help Program is based on income and can help eligible people with prescription drug costs. Woods recommends asking a Medicare agent whether you qualify.
Woods also said seniors should not automatically assume using their prescription insurance will be the cheapest option. In some cases, paying cash for a generic medication can cost less than going through insurance.
The Medicare Prescription Payment plan allows people with Medicare Part D to spread their out-of-pocket prescription costs over the course of the year.
“You could space that out in the monthly payments. So that’s a really good program,” Woods said.