What is the purpose of Medicare Part D?

The purpose of Medicare Part D is to provide voluntary prescription drug plans to beneficiaries. This part of Medicare was established to help individuals with Medicare cover the costs of their prescription medications. It is designed to improve access to necessary medications and reduce financial burdens associated with out-of-pocket drug expenses.

Medicare Part D allows beneficiaries to choose from various insurance plans that include different formularies—lists of covered medications along with their costs—tailored to meet their individual medication needs. This voluntary nature means that while enrollment is not mandatory, those who opt to enroll can benefit from prescription drug coverage that helps manage healthcare expenses.

The other options focus on different aspects of healthcare not covered by Part D. Hospital care falls under Medicare Part A, which provides coverage for inpatient stays. Outpatient services and preventive health care are covered under Medicare Part B, which deals with physician services, medical supplies, and preventive services.