People with Medicare Part D prescription drug coverage will have the option of paying out-of-pocket costs through monthly payments beginning in 2025. The Centers for Medicare & Medicaid Services (CMS) released draft guidance that outlines the requirements of the Medicare Prescription Payment Plan.
The program mandates that Medicare Part D plan sponsors (insurance carriers) offer individuals the option to pay their out-of-pocket costs monthly over a year instead all at once when the prescription is originally filled. Although the program will not reduce overall out-of-pocket costs, spreading the cost throughout the year can help ease some cost-sharing burden. This is an important step that will help certain people have increasing access to life-saving medications.
Additional guidance will be available soon.