The Medicare Prescription Drug Plan (Part D) went into effect on Jan. 1, 2006. It was enacted as part of the Medicare Prescription Drug, Improvement, and Modernization Act of 2003. Beneficiaries could receive subsidized outpatient prescription drug coverage through insurance companies and other private companies approved by Medicare.
Anyone who has Medicare Hospital Insurance (Part A) and Medicare Medical Insurance (Part B) or certain Medicare Advantage Plans (Part C) is eligible for Part D, but it is optional to enroll. Each plan varies in costs and what drugs are covered. An additional monthly premium is charged.
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