New This Year The new prescription drug law is lowering out-of-pocket costs on covered prescriptions. New in 2025, all Medicare plans will include a $2,000 annual cap on what you pay out-of-pocket for prescription drugs under Medicare Part D. The cap only applies to drugs that are covered by your plan, so it’s more important than ever to review your plan options to make sure your drugs are covered.
That means you will not pay more than $2,000 in 2025 on prescription drugs covered under Medicare prescription drug coverage – that includes expensive prescription drugs to treat cancer, chronic illnesses and more. This is in addition to improvements already in effect due to the prescription drug law including a $35 cap on a month’s supply of each covered insulin product – and no out-of-pocket costs for recommended adult vaccines covered under Part D, including the shingles vaccine. Also starting in 2025, you can choose to spread your out-of-pocket drug costs across the calendar year instead of paying all at once at the pharmacy.
It’s called the Medicare Prescription Payment Plan. You can opt in with your plan in advance of Jan. 1 and throughout 2025.
How to Compare Prescription Drug and Health Coverage Options Medicare.gov is the official source for information about Medicare and Open Enrollment. Start here to get unbiased information to find the type of coverage that best meets your needs.
Comparing prescription drug and health coverage options is easy at Medicare.gov ..
