Ask Terry Questions MEDICARE PART D comparisons

MEDICARE PART D comparisons

By Terry Savage on October 31, 2023 | Insurance & Annuities

For 2024, I am switching to the Wellcare Value Script Plan. Medicare estimates that my 2024 yearly drug costs – Preferred pharmacies – will be between about $1,800 to $2,600 (depending on which – preferred – pharmacy I use).
Q 1 – How does Wellcare make money if my monthly premium for this Plan is $0.00 (zero). Q 2 – Why is there a huge yearly drug cost difference among the four so-called “Preferred” pharmacies – when they are supposed to be the “lowest.” etc. I would imagine that since they are all “preferred” the annual drug costs would be about the same. THANKS.

Terry Says

Each drug plan sets its own prices and “tiers” for individual drugs. That’s the reason for doing the comparison of Part D plans on — inserting your own prescriptions and dosages. They are all competing to get customers, because they make money on volume. If one company says it costs “nothing” in monthly premiums, you can be sure they are making it up on the cost of drugs. That’s why you really want to compare the “total cost of drugs” — assuming you can get them from a convenient pharmacy that is part of the plan (or agree to do it through mail order).



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