Explanation of the “Donut Hole” or “Coverage Gap”

• The Donut Hole (or Coverage Gap) begins when the total spent on drugs exceeds $2930
  
  
• The $2930 total includes the amount spent by you plus the amount spent by your insurance company
• The $2930 threshold total does not include monthly premiums paid by you
  
  
• While in the Donut Hole you will pay only 50% of the negotiated retail price for any Brand name drug that you purchase. When you purchase generic drugs, you will pay 86% of the negotiated retail price unless your specific Part D plan offers a greater discount. Most plans will offer no more than the 14% discount.
  
  
• The Donut Hole (Coverage Gap) ends when you have spent a total of $4700 of your own money on drugs (not including the money you spent on monthly premiums)
  
  
• Once you have spent $4700 of your own money during the year, the catastrophic coverage begins. The individual pays approximately 5% of the cost of the drugs from then on until the end of the year. There is no carry-over from year to year. Each year all plans start anew.

  
  Action Recommended for Evaluating Next Year's Part D Plans (2012)

  Step 1 - Call us today to register for counseling in November – Toll Free 866-928-1875 Step 2 – We will call you in early November to evaluate your Part D plan Step 3 - Make a decision – change plans for next year or stay with present plan Step 4 - Yes, I wish to change plans - you must enroll anytime between October 15, 2011 and December 7, 2011 or No, I wish to stay with my present Part D plan for 2012 – no action necessary

  
  

  Everyone should re-evaluate their Part D Plan for the coming year. Plans change and a plan that is suitable this year may be too expensive next year. Our free counseling can help. If you have questions regarding Medicare Part D, please call us.

  Call today toll free 866-928-1875 or email seniorinitiative@gmail.com