Which statement best describes a DSNP?

The statement that the monthly premium is at or below the Low Income Subsidy benchmark to cover drug costs accurately describes a Dual Special Needs Plan (DSNP). DSNPs are specifically designed for individuals who are eligible for both Medicare and Medicaid, and they often have lower or even no premiums for those receiving financial assistance.

The Low Income Subsidy (LIS) program, commonly referred to as "Extra Help," helps individuals with limited income and resources afford their prescription drug costs under Medicare. To ensure that beneficiaries can manage their healthcare expenses, particularly those related to medications, DSNPs align their premium structures with the LIS benchmarks, making them more affordable for qualified individuals.

This structure helps ensure that those who qualify for both Medicare and Medicaid receive adequate support while addressing their healthcare needs without incurring excessive costs. As the other options do not accurately highlight the features or benefits of a DSNP, the focus on the premium in relation to the Low Income Subsidy benchmark is key in understanding how these plans are designed to assist eligible members.