All Medicare found 28 Medicare Part D prescription drug plans available in Arizona for 2023. See Plans
Arizona Part D Plans By The Numbers
- Average premium: $53.94 per month.
- Lowest premium: $5.40 per month.
- Average deductible: $369 per year.
- Plans with no deductible: 6.
- Plans rated 4-stars or better: 0%.
- Basic benefit plans: 11.
- Enhanced benefit plans: 17.
- Full Low-Income Subsidy plans: 8.
- Plans with extra gap coverage: 4.
All Plans Have Four Cost Phases
A Medicare prescription drug plan is extra coverage you can get in Arizona to help you pay for your prescriptions. Part D plans, or PDPs, don't cover all costs, but they do cover a lot. But, how these plans work can be confusing, so let's go over the four phases of cost-sharing.
Phase 1: The Plan's 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
The Initial Coverage Limit starts once the deductible is paid. It is the same for all plans. The amount this year is $4,660. In this phase, you and your plan split all costs up until your total retail spend on prescriptions exceeds $4,660. You pay the formulary amount. The plan will pay the rest. If your medication costs $50, and the formulary calls for a 10% copay, your share will be $5.
CRITICAL: When the total cost of your prescriptions exceeds $4,660, you go into the next please, the Coverage Gap (aka, "donut hole").
Phase 3: The Donut Hole (Coverage Gap)
Your share on all brand-name drugs will be 25% in the Coverage Gap phase. The manufacturer is required to give a 70% discount, while your Medicare Part D plan will take the remaining 5%. This continues until you reach $7,400 in True Out Of Pocket Costs (TrOOP). Your TrOOP includes the 25% that you pay and the 70% discount received from the manufacturer.
TIP: Some plans offer additional gap coverage, so look for it on the plan information pages.
With generic drugs it's a little different. You will still need to pay 25% of the cost, and your plan pays the rest. However, only the 25% you pay counts towards your TrOOP.
Phase 4: Catastrophic Prescription Coverage
All Part D plans sold in Arizona offer catastrophic coverage once you have paid $7,400 out-of-pocket for covered drugs. This amount includes the cost of covered drugs as well as some additional costs. In the catastrophic coverage phase, your copays or coinsurance will be significantly lower for the remainder of the year.
Costs That Help You Get Catastrophic Coverage
- Your plan's deductible;
- What you paid during the initial coverage limit period;
- Most of the full cost of brand-name drugs (and the manufacturer’s discount) purchased in the coverage gap;
- The amount paid by others, including family members, most charities, and other persons on your behalf; and
- 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's more than one way to get prescription drug coverage with your Medicare benefits. The first way is by enrolling in one of the Medicare prescription drug plans available in Arizona. The second way is to get prescription coverage through one of the many Arizona Medicare Advantage Plans or Arizona Medicare Special Needs Plans that include Part D benefits. Most Medicare Advantage plans available in Arizona include Part D as an additional benefit.
Cover Your Original Medicare Gaps with a Medicare Supplement
You already know that Original Medicare does not cover your outpatient medications. That's why you're looking at Part D plans, right? Are also thinking about supplemental Medicare insurance to cover the 20% of Medicare Part A and Part B that come out of your pocket? It's a smart move because major medical bills add up fast. The All Medicare makes it easy to find the lowest rates on Arizona Medicare supplements with our free quoting service. The choice is yours because all Arizona Part D plans are compatible with the full range of Medicare supplement plans.
Medicare Part D for Dual Eligible Arizona Residents
If you are eligible for Medicare and Medicaid (aka "dual eligible", or "Medi-Medi") you may be automatically enrolled in a pre-selected Arizona Medicare Prescription Drug plan and Social Security’s Extra Help program. You must meet strict eligibility requirements to receive Extra Help, which will pay most of your prescription costs. Contact your local Medicaid office for more information.
The 2023 Medicare Part D Plan information for Arizona was last updated by the All Medicare team on