Plain talk information about the Medicare Prescription Drug program, Part D, and Medicare Prescription Plans

Instead of setting this up as its own governmental department, it has been created as a new sector of Medicare. In general, it is limited to only people who are eligible for Medicare, although -like most government programs- there are pages and pages of details regarding possible exceptions and eligibility. Those details are beyond the scope of this plain talk introduction to Medicare Plan D.

How is Plan D different from other Medicare programs?

This new benefit program is very different from the old familiar Medicare coverage like Part A and B. Perhaps the biggest difference is this:

• The coverage will be offered by private companies instead of the federal government. These companies are mostly well-known health insurance providers that you'll probably recognize.

You must choose to join up.

Getting into the program is voluntary, with a few exceptions. This means you have to choose to join, and go through a sign-up process. You probably should NOT expect your current Medicare status or medical insurance coverage will automatically enroll you in Plan D programs. The biggest exception to this rule is if you currently have state Medicaid prescription drug coverage. In that case, you should be automatically enrolled in a Medicare prescription plan. As we have warned before, there are many details and regulations that go beyond just "plain talk".

Limited time to choose and enroll.

A VERY important point to remember is that timing is critical. There is a period of months -from November 15, 2005 through May 15th, 2006-in which you must decide and enroll if you want to join. If you enroll after the deadline, you will have to pay a penalty of 1% for each month past May, 2006. As we understand the rules, you'll pay this penalty every month -for however long you stay in the program! (These dates and penalty are subject to change by government regulation, of course.)

This is only the very basic plain talk description of Medicare Plan D. We have provided more details on additional pages of this Website; along with links to special information sites, both governmental and private.