5 steps to choosing the best Medicare Part D plan

Dec 2, 2009 11:30 AM

It's that time of year again. Open enrollment for the Medicare Part D drug benefit runs until Dec. 31, 2009. You should enroll by Dec.15, though, to avoid potential coverage lapses and problems filling your prescriptions. Your coverage will be in effect from Jan. 1 through Dec. 31, 2010.

Whether you are enrolling for the first time or considering switching, you might have dozens of private plans to choose from, with differing premiums, co-payments, and levels of coverage—including which drugs are covered. As a result, we strongly urge Medicare beneficiaries to:

Understand the drug coverage you already have, if any.
Get information on the Part D benefit in advance.
Set aside time to study your choices and compare plans in detail.
Seek independent outside information and advice, if needed.
Pick a plan carefully.

Premiums are projected to increased by an average of 11 percent next year, with some of the biggest plans charging an estimated six to 22 percent more than they did in 2009. The average monthly premium for basic benefits is estimated to be about $37, according to a Kaiser Family Foundation report, but premium ranges will vary widely, from around $9 per month for some plans to more than $120 for other plans. There are a number of factors to consider in choosing a plan. Read more details on how to choose a plan, avoid the doughnut hole, and what you can do if you think you may enter it next year.

—Lisa Gill, editor, prescription drugs

Read our full Medicare Part D report and visit Consumer Reports Best Buy Drugs to find many alternatives to high-priced drugs.