Donut Hole

The gap in Medicare Part D coverage when you have between $3,820 and $7,654 in total drug costs in a year.

People on Medicare who fall within the “donut hole” get a 75% discount on brand name prescription drugs and a 63% discount on generics. This discount will continue to grow until 2020, when the donut hole coverage gap is closed completely. These changes are happening as a result of the Affordable Care Act passed in 2010.