23 Medicare Part D Drug Plans in Colorado for 2023

All Medicare has 23 Medicare Part D prescription drug plans available in Colorado for you to compare.   See Plans

All Plans Have Four Cost Phases

Medicare Part D plans are optional coverage you can buy in Colorado to add prescription drug coverage to your Original Medicare (Part A and Part B) or a Medicare Advantage plan that does not include Part D benefits. If you are new to Medicare, the Medicare Part D plan cost-sharing concepts may be confusing. Let's start with an overview.

Phase 1: The Annual Deductible

Before a Part D plan will pay any of your prescription costs, you must first pay full cost of your prescriptions until the annual deductible is met. So, for instance, if you enroll in a Colorado plan with a $400 deductible, you will pay $400 out-of-pocket to pick up your prescriptions before the plan kicks in to pay its share.

IMPORTANT: Here's a cost-savings tip. A few plans in Colorado exclude Tier 1 drugs from the annual deductible. If you use mostly Tier 1 generic drugs, this can add up to a significant cost savings.

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 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 Colorado plans offer additional coverage in the coverage gap phase, 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 Colorado 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

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.

Get Your Prescription Benefits with a Medicare Advantage Plan

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 Colorado. The second way is to get prescription coverage through one of the many Colorado Medicare Advantage Plans or Colorado Medicare Special Needs Plans that include Part D benefits. Most Medicare Advantage plans available in Colorado include Part D as an additional benefit.

A Medicare Supplement + Medicare Part D = Full Coverage

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 Colorado Medicare supplements with our free quoting service. The choice is yours because all Colorado Part D plans are compatible with the full range of Medicare supplement plans.

Medicare Part D for Dual Eligible Colorado Residents

If you are dual-eligible and qualify for both Medicare and Medicaid in Colorado, you will automatically receive a pre-selected Medicare Part D, as well as Extra Help from Social Security. For dual-eligible people, the Extra Help program covers most prescription costs. Call your local Medicaid office for assistance with your dual-eligible benefits.

The 2023 Medicare Part D Plan information for Colorado was last updated by the All Medicare team on January 9, 2023