What Medicare Supplemental Prescription Insurance has done is create a system of tiers that will help those covered by the supplemental insurance to know exactly how much they can expect to pay out of pocket for prescription medications. What is nice about the tiers is that it eliminates the guess work for those insured. Tiers are broken down into three classifications so that the insured can decide, along with their medical provider, whether to use the generic of a medication or the brand name.
Often times when those on a Medicare Supplement Prescription plan will choose Tier One. This tier is referred to as the Generic Prescription Tier. Generic medications are just as effective as brand name medications and as a cost saving measure generic medications are chosen. There are different insurance companies who offer the Medicare Supplement Prescription plans and their co-payment for generic or Tier One prescriptions range from absolutely no money up to five dollars. Again it is the choice of the insured and their provider to decide if a generic medication or a Tier One medication is right for them.
Tier Two is referred to when an insured or their doctor decides that a brand name medication is the best option for them. The key with Tier Two however is the choice of what is referred to as Preferred Brand Name Drug. This medication is one that the insurance company would prefer that you take, when prescribed by your physician, for what ever given ailment you may have. The co-payment for Tier Two can range from 25% of the medication to a flat co-payment of up to $28.00.
Tier Three medications are brand name medications that the insurance companies do not considered preferred medications. Again, those insured and their physician have the right to determine which medication should be prescribed but if the medication is a Tier Three medication, you can expect to pay out of pocket up to $50.00 or more for that prescription.
When considering your medication needs, talk with your physician and review your Medicare Supplement Prescription coverage. This way you know what you can expect to pay out of pocket for the prescriptions that you may need.