Healthcare Vs. Medicare Prescription Coverage

As with many coverage plans prescription can be exceptionally expensive especially with Medicare or Medicaid. With Medicare what many people do not realize is that there is something called a coverage gap. Think of prescription coverage like a donut, the breaded part is where your prescriptions are paid, however after a certain amount you fall into the gap or the hole of the donut and your prescriptions are now full price. You have this gaps for a certain span and than they are paid again. I am listed below the average amounts for prescription co-pays and the coverage gap the government has predetermined.

* Prescription costs pre-gap coverage: (You have this coverage until you have spent 3,850.00 then you hit the gap)

$3.00 for generic
$6.00 for name Brand
$9.00 for rarely used name brand drugs

Prescription costs during the gap depending on the medication can be 1,100.00 dollars, average is usually 300.00. The gap for Medicare is somewhere between 3,600 - 3,800. Once you have spent this much out of your pocket than you hit post gap coverage.

* Prescription costs post-gap coverage: (You have this coverage for the full rest of the year, than when your coverage year starts over so does the process.)

$2.00 for generic
$4.00 for any name brand

One might think that 3,850 is not easy to spend and can last a full coverage year but this rarely happens unless prescriptions are only used as a supplemental source. Now of course there are options of going to Wal-Mart for 4.00 generics which than doesn't involve your Medicare, however name brands will still make it almost impossible for many of the elderly to purchase the medications that make their day to day possible.

However there is good news, this is where it pays to be an informed shopper for anything you are willing to put so much many into. If one shops around enough you can find higher premium plans offered by companies such as AAA or United Healthcare that does not contain a coverage gap. The coverage is consistent throughout the full year. The downfall to this plan is two fold, one is that your premium is higher, and the second is usually the co-pays for the medications are also a little higher. However this allows for anyone on a budget to spread out the money instead of being hit with an extreme bill all at one time.