What is it?
Insurance that reduces the cost of prescription medications. Depending on the policy, most aren't covered at 100%.

Key details

• Tiers: Generic (lowest cost, e.g., $10 co-pay), preferred brand (mid-range, e.g., $30), non-preferred brand (higher, e.g., $60), and specialty (highest, often $100+ or coinsurance).

• May require a separate deductible.

• Co-pays or coinsurance vary by tier.

Why it matters
Lowers drug expenses, with tiers encouraging cost-effective choices while ensuring access to needed meds.