How Medicare Drug Coverage is Changing in 2024 & 2025

Big changes are coming to how Medicare Part D covers prescription medications. The good news is that those on high-cost medications will see a cap on their costs for the first time ever (under Medicare).

If you're worried about drug coverage while on Medicare watch this video on how coverage changes in 2024 and again in 2025!

Need help? Email me!

Join our newsletter:

=============================
This video is NOT sponsored.

The Retirement Nerds is the no-cost educational platform and serves to offer information around Medicare, Social Security, Financial Planning, and Estate Planning.

=============================
Send me a message!
=============================

⏰ TIME CODES ⏰
0:00 Introduction
1:03 Part D in 2023
10:23 Part D in 2024
12:25 Part D in 2025
14:04 Where the Cost Could Go
14:56 Wrapping Up

=============================
#medicare #90daysfromretirement #medicareexplained #prescriptiondrugs

Federal Disclaimer:

[don_cc]

What I find absolutely ridiculous is that you cannot use any manufacturer's coupons when on Part D. We have some of the most expensive health care and drugs in the world, and the drug companies spend billions on expensive reps to push the latest drugs and constantly ram expensive commercials for them down our throats. There ought to be a law...

[kristinb]

I feel so sorry for the elderly who are trying to survive on social security. I doubt many of them earn enough to cover their prescription costs.

[headlibrarian]

One thing that would be really nice is if Part D plans were required to lock their formularies for the year against tier increases or deletions. I am shocked that is not already the case. You can choose a plan thinking you're good because it covers the drugs you currently take or are contemplating adding, only for the formulary to change mid-stream. You could be switched to a higher copay/coinsurance tier or even have a drug completely removed from coverage. Unlike the insurer you are locked in until the next enrollment period, rendering you SOL in the meantime.

[SpynCycle]

Some people had to work a lot of overtime to come up with such a convoluted drug cost plan. This seems more complex that the federal income tax rules.

[brockb]

Thank you so much for using clear examples and for the step-by-step format of these videos. Medicare is so complicated and opaque, and they don't teach you this stuff in school! This has helped a lot.

[girssqf]

Thanks! Your info is always so helpful. I'm not quite ready for Medicare yet, but I'm trying to stay on top of all the changes so I don't get surprised. Thank you so much for your help.

[charlieakin]

It sure pays off working out, miles of walking each week. No smoking, no alcohol, at the weight I was in my 20's. Not on a Single Medication for illness. I was hospitalized for 7 days. Aspiration pneumonia, it did give me AFIB, and I did suffer respiratory arrest and heart failure. BRIEFLY. why? Because I had a GREAT HEART MUSCLE to begin with. I was off medication in 6 days after discharge. The cardiologist is dumbfounded. I told them, I have been working on making a strong HEART MUSCLE for 14 years now. I am 66.

[anthonygardner]

Thanks, Erik. Your content is just amazing. I hope you appreciate the value you are bringing to many people.

[outdoorsluvr]

I’m really glad I watched this because I am 67 and on high cost meds. I’ve been dreading the prospect of having to retire and being unable to afford my meds.

[bikeny]

Great news. I am paying $42.43 for my part d premium. Fortunately, I am not on any high-cost drugs, I suspect my premium is going to be higher than it might have been if these changes didn't come. I'm not gonna complain as it helps everyone.

[MWS]

I just shared with friends. 2025 I will have Medicare..so looks like perfect timing for me 👍👍

[SharonR]

Wow, I had no idea that Part D had been so bad. I'm glad that it is changing, although I'm sure premiums are going to go through the roof.

[tinawestbrook]

I take only one medication but it is branded from Japan. No generic in USA but I can get the generic in India. USA cost recently down from $550 to $385 a month. India cost $12 a month. Needless to say I go to India, have a nice vacation and still save thousands.

[Stilllookingood]

The 2025 changes are good news for me since I will only have to deal with the 4 phases for 9 months! Yay!!

[info]

Thanks for the info, to me it is not good news if it causes the premiums to go up,

[abrahamO]

These are great changes but as an insurance agent for ovwr 3 years, this will just result in many $0 premium MAPD plans now having a premium, higher premium costs, and lower tier drugs being shifted to higher tiers or not being on formulary. The insurers always win.

[sherrycrosbie]

Thank you for explaining this so well. I always wondered how the manufacturers’ contributions and insurance plans’ contributions work. Your videos are awesome!

[keithwest]

Thank you for taking the time to explain this!

[eduardooramaeddie]

Thank you for the information, great job 👏🏽

[tinalippincott]

Thank you for this very informative video. I will need to watch a few times to totally process. Have not had to use Part D, as of yet, so a learning curve, for sure. Grateful that I am on no prescription medication and just have a very low premium "placeholder" plan. I am well aware that this could change unexpectedly and, as such, would never advise anyone to skip Part D. Excellent content, as always.