28 Medicare Part D Drug Plans in Arizona for 2023

All Medicare has 28 Medicare Part D prescription drug plans available in Arizona for you to compare.   See Plans

Medicare Part D Cost-Sharing Phases

Medicare's prescription drug plans, or PDPs, are additional coverage you can buy in Arizona to help you pay for your prescription medications. Many of the concepts of Part D plans are foreign to new Medicare beneficiaries, so let's have a look at the four phases.

Phase 1: Your Deductible

An insurance deductible is an amount you must pay before your policy pays its share. Most Medicare Part D plans have a deductible, but a few plans don't. When a plan has a zero-dollar deductible, you have first-dollar coverage. However, if you choose a plan with a $450 deductible, that's what you'll pay at the pharmacy before the plan kicks in and starts paying its share.

NOTE: Some Medicare Part D plans exclude Tier 1 drugs from the annual deductible. With these plans, you get first-dollar coverage on most of your generic drugs.

Phase 2: Initial Coverage Limit (ICL)

After the deductible phase, the Initial Coverage Limit (ICL) phase goes into effect. This year, the ICL amount is $4,660. You and your plan will share all costs during this phase until your prescription's total retail expenditure reaches $4,660. When this happens is based on the cost of your prescriptions and the formulary tier of each medication.

CRITICAL: When the total cost of your prescriptions exceeds $4,660, you will be in the Coverage Gap phase (aka, "donut hole").

Phase 3: The Medicare Part D Coverage Gap

In the Coverage Gap phase (i.e., the "Donut Hole"), you pay a 25% copayment for all of your brand-name medications. The manufacturer will give a 70% discount and your Medicare Part D plans covers the remaining 5%. The 25% plus 70% discount you receive from the manufacturer count towards your combined True Out Of Pocket Costs (TrOOP). Once your TrOOP reaches $7,400 you exit the Donut Hole.

TIP: A few Arizona plans offer additional coverage in the coverage gap phase, so look for it on the plan information pages.

Generic drugs are different. Your Medicare Part D plan covers 75% and you pay 25%. But, only the 25% that you pay yourself is counted towards your TrOOP to get you out of the donut hole.

Phase 4: Catastrophic Coverage

After you have spent $7,400 in 2023, you get out of the coverage gap phase and you automatically receive "catastrophic coverage". In this phase, you will only have to pay a small percentage of coinsurance or payment on covered drugs for the rest of the year. All Arizona Part D plans include this coverage.

Costs That Help You Get Catastrophic Coverage

1. Your plan's deductible;
2. What you paid during the initial coverage limit period;
3. Most of the full cost of brand-name drugs (and the manufacturer’s discount) purchased in the coverage gap;
4. The amount paid by others, including family members, most charities, and other persons on your behalf; and
5. The amount paid by State Pharmaceutical Assistance Programs (SPAPs), AIDS Drug Assistance Programs, and the Indian Health Service.

Most Arizona Medicare Advantage Plans Include Part D Benefits

There are two ways can you get Part D prescription drug benefits. All Medicare prescription drug plans sold in Arizona work with Original Medicare. But, there's a second way to get coverage. Perhaps you would like more benefits that Original Medicare provides. In this case, a Medicare Advantage health plan might be exactly what you're looking for. Most Medicare Advantage in Arizona and Medicare SNP Plans in Arizona include Part D coverage.

Medicare Part D and Medicare Supplement Insurance Work Together

Original Medicare offers 80/20 coverage on your major medical costs. With Original Medicare, you pay about 20 percent of all hospital and medical bills and Medicare pays 80 percent. Without additional coverage to help pay your 20 percent share, even a brief hospital stay can be a big expense. That's why we maintain a complete directory of Arizona Medicare supplement insurance companies. The Medicare Wizard makes it super simple to get the best rates on the coverage you want. All Medicare supplement policies sold in Arizona are compatible with Medicare Part D plans. You can mix and match.

Medicare Part D for Dual Eligible Arizona Residents

Are you eligible for both Medicare and Medicaid (aka "dual eligible")? If you are, you may be enrolled in the Extra Help program and a Medicare Prescription Drug plan that's been pre-selected for dual-eligible people in Arizona. The Extra Help program covers most of your prescriptions if you meet certain eligibility requirements. Contact your local Medicaid office to learn more about benefits for dual-eligible people.

The 2023 Medicare Part D Plan information for Arizona was last updated by the All Medicare team on January 5, 2023