Prescription Drug Plans

When you first become Medicare eligible, the best time to enroll is during your Initial Enrollment Period. This seven-month period begins three months before the month you turn 65, includes your birthday month and ends three months after your birthday. If you need to make a change after your Initial Enrollment Period, the best time to review your plan options is during the Annual Enrollment Period. Sometimes referred to as AEP, the Annual Enrollment Period happens every year from October 15th through December 7th.

If you don’t enroll in a prescription drug plan during your Initial Enrollment Period, you may have to pay a late enrollment penalty if you enroll at another time. This penalty generally continues as long as you have Medicare Part D coverage.

The cost of your Medicare prescription drug coverage can depend on your income and the type of plan you purchase. People with higher incomes may pay slightly more in premiums. The Medicare Part D coverage gap  is another important factor in understanding your costs. Find out more in our detailed article on Medicare Part D costs.