What is a stand-alone Medicare prescription drug plan known as?

A stand-alone Medicare prescription drug plan is known as a PDP, which stands for Prescription Drug Plan. PDPs operate separately from other health plans and are specifically designed to provide coverage for prescription medications under the Medicare program. These plans are essential for Medicare beneficiaries who wish to have additional prescription drug coverage alongside Original Medicare, which does not include prescription drug benefits.

PDPs are a component of the Medicare program established by the Medicare Modernization Act of 2003 and are available to individuals who have Original Medicare. Beneficiaries can enroll in a PDP to help cover their medication costs, offering a range of medications and pricing structures based on the specific plan chosen.

In contrast, Medicare Advantage plans (often referred to as MA plans or Part C plans) include both health coverage and, typically, prescription drug coverage, but they are not stand-alone drug plans. The term "Original Medicare plan" refers to the traditional program consisting of Part A (hospital insurance) and Part B (medical insurance) without any drug coverage. Thus, the correct identification of a stand-alone Medicare prescription drug plan is indeed a PDP.