The drug benefit is not catastrophic coverage above a deductible, but rather:
75% coverage for a range of expenses, after a modest deductible (or, most of the donut), then
100% cost-sharing for beneficiaries (or, the donut hole with zero coverage), before
A return to 80% donut coverage (or, the rest of the donut)
Medicare Part D reduces coverage for people with high expenses to offer coverage for people with low expenses:
Provides most consumers with a return on their premium
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