PART D 2025
Understanding drug payment stages
Deductible Stage
During this stage, if your plan has a deductible, you usually pay the full cost of Part D prescription drugs up to the deductible amount. If your plan does not have a Part D deductible, you will start in the Initial Coverage Stage.
Once you reach the deductible amount, you enter the Initial Coverage Stage and pay a copay or coinsurance.
Initial Coverage Stage (up to $2000)
During this stage, the plan pays its share of the cost and you pay a copay or coinsurance for each covered Part D prescription drug you fill until your out-of-pocket drug costs reach $2000.
Once you reach $2000, you enter the Catastrophic Coverage Stage.
Catastrophic Coverage Stage (through the end of the year)
In this stage you pay a $0 copay for each covered Part D prescription you fill.