Navigating the New Medicare Drug Plan

Then you have to make sure the plan uses a convenient pharmacy. If your local Walgreen's or CVS isn't part of one insurer's drug plan, you'll want to choose a different plan. Many plans also offer mail order.

Do they expect seniors to figure this out?

Sort of. Call home and your parents will tell you they've been swamped with advertisements and brochures from the insurance companies offering plans in their area. But it's impossible to compare without help -- computerized help. And it's on the way. Within the next two weeks, there will be tools available at the government Web site (www.medicare.gov) that will help in this process.

One tool at the Web site is the "Formulary Finder." You click on your state of residence, then list the drugs your parent is currently taking, and it will display all the plans that cover those drugs. The other tool is called the "plan finder." It lets you compare plans offered in your ZIP code, based on price, pharmacies in the network, and drug formulary lists. (See, I told you it would test your computer skills!)

If Mom or Dad isn't an online expert, spend Saturday morning working through these online tools with them to start the selection process. But be ready with answers to a few more commonly asked questions.

What if seniors are still working, or retired, and covered by a company drug plan?

The company or union must give the senior a letter certifying that its drug coverage is "creditable" -- that is, equal or better than the Medicare drug-plan requirements. If at some future date the company drops its retiree coverage, or the senior retires and no longer qualifies for coverage, there will be no penalty for signing up late. But keep that letter!

What if mom already has a Medicare supplement that covers prescription drugs?

The new Medicare Part D coverage is almost always better than the coverage traditional supplements proved, because of the Part D catastrophic coverage future. Contact the supplement provider. They'll probably reduce the price, and your mom can use the savings to pay the monthly premiums for a Part D plan. You can not have both types of coverage.