Medicare beneficiaries can obtain coverage for medicines through Medicare Part D. Part D sponsors offer plans with either a defined standard benefit or an alternative equal in value (Òactuarially equivalentÓ), and can also offer plans with enhanced benefits.Ê The standard benefit in 2014 has a USD 310 deductible and 25% coinsurance up to an initial coverage limit of $2,850 in total drug costs, followed by a coverage gap.Ê During the gap, enrolees are responsible for a larger share of their total drug costs than in the initial coverage period, until their total out-of-pocket spending reaches USD 4,550.Ê Thereafter, enrolees pay either 5% of total drug costs or USD 2.55/USD 6.35 for each generic and brand-name drug, respectively. In employer-sponsored health insurance plans, 81% of workers have plans with Òtiered cost-sharingÓ for prescription drugs, with different average monthly co-payments across drug categories. In plans with 3 or more tiers of cost-sharing, co-payments are, on average: USD 10 for generics, USD 29 for Òpreferred drugsÓ, USD 52 and USD 80 for drugs of the third and fourth tiers. In plans where cost-sharing takes the form of co-insurance, the average rates are respectively 16%, 25%, 38% and 32% for the first, second, third and fourth tiers.