What Is The Purpose Of The Donut Hole In Medicare. Specifically, the donut hole is the point in the year when your prescription benefits change because the total cost paid by you and the plan have reached the initial coverage limit. Medicare part d coverage gap (aka “donut hole”.

Not everyone will enter the coverage gap. Specifically, the donut hole is the point in the year when your prescription benefits change because the total cost paid by you and the plan have reached the initial coverage limit. It was originally called this because the part d gap was a huge hole right in the center of prescription drug coverage during the year.