Prescription Protection Insurance Key Terms

Learn what is covered through a prescription protection plan

Many health insurance plans do not fully cover the cost of prescription medications. If this is the case, there are supplemental insurance policies available to cover the high cost of prescription drugs. A prescription protection insurance plan may cover a portion or the total cost of common prescription drugs. This type of insurance is also essential for those that need to purchase specialty drugs to treat an ongoing medical condition.

 

Co-pay

A co-pay is a fee a patient must pay in order to receive benefits from a service. Co-pays are often a percentage of the total cost of the service.
Try: IncBizNet provides information on what a co-pay actually pays for and advice on shopping for the best insurance plan co-pay.

Generic drugs

A generic drug is a medication that has the same ingredients as a name brand drug on which the patent has expired. The FDA approves the content and production of generic drugs, just like name brand drugs.
Try: Consumer Reports Health provides answers to the most common questions asked about generic drugs.

Brand name drugs

Brand name drugs are medications that have a distinct brand name. The brand name on any drug can be exclusively held for up to 20 years before the patent expires. After that, generic forms of the drug can be created.
Try: BlueCross BlueShield of Oklahoma provides a comparison chart on the costs of brand name and generic prescription drugs.

Out-of-pocket expenses

Out-of-pocket expenses are any expenses patients must pay because they aren't covered by their prescription protection plans.
Try: Plan For Your Health provides an overview of health insurance plans, including how to pick a plan based on co-payments, deductibles and out-of-pocket expenses.

Specialty medications

Specialty medications are medications that patients need for ongoing care. Some characteristics of specialty medications include a higher cost, the need for specialized storage, and many specialty meds are not stocked at pharmacies.
Try: Life Wise Health Plan of Oregon provides a list of self-administered specialty medications and a list of specialty medications that need to be administered by a health care professional.

Mail order pharmacy option

A mail order pharmacy option in a prescription insurance policy is the option to purchase prescription medications through the mail. This can reduce costs and provide convenience for those needing medication on a regular basis.
Try: Group Health provides the details on how to use mail order pharmacy services and transfer prescriptions.

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