Do your clients use Medicare Advantage over-the-counter drug cards? How does that work?

Question

Anthony Castelluccio · Accepted Answer

The Over The Counter (OTC) benefits are pretty nice and most of the people I work with will use them. All of the different plans vary some on how to use them. Some plans will give you a card to use at different locations and some you can log in or phone in your order of OTC items and they are mailed to you at no additional cost. All of the plans also vary on how much they will give you in extra OTC benefits. This past year, most of the plans cut the OTC benefits down 30-50% from last year. I feel this is a direct result in how much the government will subsidize these plans and my thought process is that the next couple years, I could easily see the government continue to cut the amount of money given back to these plans. Again, just my thoughts.

Answered by Anthony Castelluccio on April 28, 2025

Agent Licensed in PA, DE, MD, NJ & VA

Answered by Anthony Castelluccio Medicare Insurance Agent

Steve and Sue Brauer · Answer

Hi, thanks for watching. So the question is, do my clients use Medicare Advantage over-the-counter drug cards? How does that work? Well, first of all, most Medicare Advantage plans have what they call an OTC, over-the-counter benefit. Now that benefit can be used for over-the-counter drugs, band-aids. It's a pretty comprehensive list of what can be used on that.

There are a couple ways you can use that. You can go into specific pharmacies or places like Walmart, different things like that to use it, or you can use them online and typically they'll ship them to you at no cost. You can request a catalog, you can go online and look at their catalog, and I'll tell you, the over-the-counter things that can be purchased, it's pretty extensive. I mean, things like water picks, band-aids, of course, over-the-counter medications, flu and cold stuff, but the list is huge. There's like pages and pages of stuff you can get with your over-the-counter benefit.

Daniel Brechin · Answer

OTC or Over the counter drugs are just what it says.  OTC are aspirin, antacids, urinary pads and many more provided only by Medicare Advantage plans.   
Medicare Advantae plans generally have a no or low monthly Premium.   Also,  most MAPD plans have limits on annual expense.

Lt Col Tim Brown · Answer

There is not a Medicare advantage over the counter drug card. There are over the counter benefits in many of the plans to buy things like vitamins, band aids, toothpaste, etc. Debit cards that are issued by some MAPD companies for over the counter items can be used at stores such as Walmart, Walgreens etc. for approved items. Most MAPD plans include the Part D prescription plans for prescriptions, not over the counter items.

Answered by Lt Col Tim Brown on May 17, 2025

Broker Licensed in TN, AL, CO & 10 other states

Answered by Lt Col Tim Brown Medicare Insurance Agent

Terri Reagin · Answer

The process for usage of the over-the-counter benefits vary from carrier to carrier but some carriers have a pre-loaded card that can be used at major retailers such as Walgreens and CVS for common over the counter medications such as aspirin or vitamins.

Answered by Terri Reagin on August 5, 2025

Broker Licensed in OK, AR, CO & 6 other states

Answered by Terri Reagin Medicare Insurance Agent

Christopher Boyd · Answer

Yes, some carriers such as Aetna work at CVS. Several stores accept the cards based on the insurance carrier. About half of my clients prefer to order online, for example, Centerwell mail order with Humana. The online option allows the convenience of seeing the inventory of items, and then take advantage of free shipping.

Answered by Christopher Boyd on August 24, 2025

Agent Licensed in IN, KY, MI, OH, PA & TN

Answered by Christopher Boyd Medicare Insurance Agent

Voss Speros · Answer

Voss Speros here, Greek god of Medicare, talking about Medicare today. Got a question about the OTC card. Clients ask, "How do I use the OTC card?" So basically, you get it. There are stores contracted with the carrier to offer products. You also have a catalog from the carrier; the carrier will send you out a catalog, or it'll be on your portal. You can go in and look and say, "I want this, this, and this." You enter it in, go to a shopping cart online, and submit it. They mail it to you without tax, or I mean, without shipping fees. So probably without tax too, because it's yours.

If you go to the stores, you can use it. Sometimes they have a healthy food card mixed in, sometimes they don't; maybe it's just over the counter. But if you go to CVS or Walgreens, on the labels on the price tags, it says OTC. That's when you know those products you can use for your card. So you pick those products, put them in your cart. Go up to the register, have those separated from everything else, put them on the little wheelie table, give them your card, they swipe it, and then that comes off your card as the allowed amount you can use to pay for those items. Then you put your other items on and pay for those.

So that's how you use the OTC card. If it's a healthy foods card, it's virtually the same. You go in, and they give you a list of healthy foods that you can pick from. You can't get alcohol or tobacco or junk food, but healthy food. You pick that, put it off to the side, and run your card the same way. If you have questions, give us a call, and we'll talk to you soon.

Edward Smith, ChFC, CRPS, AIF · Answer

The OTC benefits may be used to cover things like, minerals, vitamins and other needs. Not all plans other these benefits and the amount allotted is different from plan to plan.

Michael Denniston · Answer

Many of my clients are on Medicare Advantage plans that include OTC （over the counter） cards with various amounts loaded on them; Monthly, and quarterly. They use this additional benefit to order everything from toothpaste to wheelchairs. For many people this is a very important additional benefit.

Answered by Michael Denniston on June 4, 2025

Agent Licensed in FL, AL, AR & 11 other states

Answered by Michael Denniston Medicare Insurance Agent

Michael Andrews · Answer

Hello, the question is, do your clients use Medicare Advantage over-the-counter drug cards? How does that work? The OTC benefits that we hear about on a lot of the plans are not set in stone and guaranteed, meaning that they do change every single year. It's not necessarily used for prescriptions; it can be used for over-the-counter medications, such as cold medicines, flu medicines, stuff for GI issues, and different things like that. Original Medicare does not have these benefits. These are the benefits that you would receive from a Medicare Advantage plan, and not all Medicare Advantage plans necessarily have this benefit. But as long as your doctors and your prescriptions fit well into whatever plan you're looking at, and that plan also happens to have an OTC benefit, then it's just icing on the cake. But my advice is to not just choose a plan based on OTC coverage. Hope this helps!

David Bell · Answer

Over-the-counter (OTC) benefits usually work one of two ways. 

You may get a catalog or access to a website to do a mail order. You will have a monthly or quarterly credit to order any thing from the catalog. They usually don't charge any shipping.

For the second option the company will send you a debit card that will be reloaded each month/quarter, sometimes it is your membership card (look for a magnetic strip). You can use this in your favorite drugstore like Walgreens, CVS or Walmart. They use the same list for eligible items as an HSA or MSA account, usually all the aisles in front of the pharmacy.  Just use that card at the register. 

Some companies have a hybrid system using both a catalog and in store options. 

It's a great way to get vitamins, supplements, pain relievers and cold medicine.

Joanna Finnegan · Answer

Yes, I have clients who use the Medicare Advantage over-the-counter drug card. How you use your card depends on the company. Some companies allow you to use the ID card at the store cash register. Some companies have you order through their own online store or catalog. It just depends on the company that you have your Medicare Advantage plan with.

Answered by Joanna Finnegan on August 6, 2025

Broker Licensed in ID, AR, AZ & 31 other states

Answered by Joanna Finnegan Medicare Insurance Agent

James ONeal · Answer

Yes, many Medicare Advantage plans include over-the-counter (OTC) drug cards as a benefit. 

These cards, often resembling prepaid debit cards, allow members to purchase a variety of eligible health-related items at participating retailers. 

The specific items covered and the amount available on the card vary by plan. 
Here's how it generally works:

Enrollment:
You must be enrolled in a Medicare Advantage plan that offers an OTC benefit. 

Card Issuance:
The plan will send you a card, often a prepaid debit card, specifically for OTC purchases. 

Benefit Amount:
Each plan has a specific amount allocated for OTC purchases, which may be a monthly or quarterly allowance. 

Eligible Items:
The card can be used to purchase a range of OTC medications, personal care products, first aid supplies, and other health-related items at participating retailers. 

Purchasing:
You present the card at the point of sale, and the eligible items are deducted from your allowance.

Maureen Gildea · Answer

Yes my clients rely on the cards.   Not every plan qualifies for an OTC card.  

Reach out for more information.

Jorge Magana · Answer

Yes they do use it. It works great for them once they get their card they can go to the closes pharmacy that works with their plan and buy OTC.

Jaime Valadez · Answer

My customers do use the OTC Benefits. Depending on the insurance carrier, there is a specific amount given every month or every 3 months. It is pre loaded to a card and you can use it for approved items. Usually carriers have a catalog of approved items that i share with my clients so they know where and what they can buy.

Answered by Jaime Valadez on April 13, 2026

Broker Licensed in IL & IN

Answered by Jaime Valadez Medicare Insurance Agent

Rob Taylor · Answer

Not every Medicare Advantage plan includes an over-the-counter (OTC) benefit, but many of them do. When a plan offers it, members receive a set allowance they can use to purchase certain health and wellness items.

Most plans provide a monthly or quarterly allowance, often somewhere in the range of about $25 to $100, depending on the plan. That credit can typically be used for things like pain relievers, cold and flu medicine, vitamins, allergy medications, bandages, and other basic health supplies.

How members use the benefit depends on the plan, but it usually works in one of three ways:

• Ordering items from the plan’s OTC catalog and having them shipped to their home
• Ordering through the plan’s website or mobile app
• Using a benefit card at participating retail stores

It is also worth noting that certain Special Needs Plans (SNPs) can offer much larger allowances. For example, some plans designed for people who qualify for both Medicare and Medicaid, or those who have specific chronic conditions, may provide higher monthly benefits that can be used for OTC items and sometimes other health-related expenses.

One thing many people do not realize is that these allowances usually do not roll over, so if the credit is not used during the month or quarter, it is typically lost.

If someone is unsure whether their plan includes this benefit, the easiest place to check is their Summary of Benefits or Evidence of Coverage, or they can contact their plan directly to confirm. It can be a helpful perk when available, but the details vary quite a bit from one plan to another.

Steven Bleicher · Answer

One of the nice perks of an Advantage plan is the ordering of OTC products from the company's catalog each quarter at no cost to you. They will deliver it to your door by either the USPS or UPS. The allowance varies from company to company. If you don't use the entire amount by the end of the quarter, you lose it but the new quarter starts all over again with the same initial amount. The products are anything from toothpaste, baby powder, aspirin, mops, etc. If you have stocked up on all items needed, you can order for your relatives, neighbors and friends. Why not use this benefit?

Answered by Steven Bleicher on May 19, 2025

Broker Licensed in AZ

Answered by Steven Bleicher Medicare Insurance Agent

Melanie Blackston · Answer

Yes, they sure do. Some insurance plans allow the card benefits for only over the counter items which are pharmacy items, other plans allow not only OTC (over-the-counter) in the pharmacy but also for healthy foods and fruits, and some plans allow you to use your card benefits to help with utilities and rent. You would need to check your plan benefits for exact usage of your OTC.

Answered by Melanie Blackston on August 5, 2025

Broker Licensed in SC, GA & NC

Answered by Melanie Blackston Medicare Insurance Agent

Barbara Patterson, CFP · Answer

Each Medicare plan has different retail stores you can use your OTC card. Often it’s Walmart or CVS and you can use your otc card to buy otc products near the pharmacy up to a certain free amount per quarter.

Answered by Barbara Patterson, CFP on June 1, 2026

Agent Licensed in TX

Answered by Barbara Patterson, CFP Medicare Insurance Agent

Betty McCarty · Answer

Yes, many of my clients do use the Medicare Advantage over-the-counter (OTC) benefit. These plans usually provide a prepaid card or online account with a set allowance—monthly or quarterly—that can be used to buy approved health-related items like vitamins, pain relievers, or first aid supplies at participating retailers or online. The amount and eligible items vary by plan. Call an agent regarding your specific plan to help you understand how to use this benefit effectively.

Answered by Betty McCarty on July 25, 2025

Agent Licensed in WA

Answered by Betty McCarty Medicare Insurance Agent

David Haynes · Answer

Many clients use the OTC cards although what surprises me, is that some people don't even know they have one. They did not go through the information that was sent to them, but most importantly, is the agent did not go through the process of explaining the benefits. Be careful who you use to help you. I would recommend a local agent. Not that all call centers are "bad" per se, but there are some bad actors. Just my opinion on that.

Answered by David Haynes on October 16, 2025

Broker Licensed in TX

Answered by David Haynes Medicare Insurance Agent

Brianna Douros · Answer

My clients use their OTC cards at local pharmacies, Walmart, Kroger, etc. to purchase vitamins, toothbrushes, rubbing alcohol, bandaids, etc. What they can purchase depends on their company & what their plan includes. They can sometimes use it to purchase groceries or even on their utilities as well. In addition to their healthcare card, they receive a “flex card”, “u card”, or “spending card” with a preloaded quarterly or monthly amount. Most of the time it looks like a credit card, has a number, expiration date, & CVC code. They can usually use it in store or for purchases online.

Answered by Brianna Douros on April 28, 2025

Broker Licensed in VA, CO, NC & TX

Answered by Brianna Douros Medicare Insurance Agent

Paul Wyatt · Answer

Each plan has a different way that their particular cards can be used. Some carriers can be used in chain stores and others you must use mail order for the products they offer. For many of them though you can use the OTC network app and load your plan in and it will show you the amount you have to spend as well as the products you can purchase.

Answered by Paul Wyatt on May 19, 2026

Broker Licensed in TN, KY & MS

Answered by Paul Wyatt Medicare Insurance Agent

Hudson Albert · Answer

Yes—many clients enrolled in Medicare Advantage use over-the-counter (OTC) drug cards, but only if their specific plan includes that benefit. These plans provide a set allowance (often monthly or quarterly) that members can use to purchase approved health items like pain relievers, vitamins, cold medicine, bandages, and other everyday supplies. The card works like a prepaid debit card or can be used through a catalog or approved retailers (in-store or online). Keep in mind, the amount, eligible items, and where you can shop all vary by plan, and unused funds typically do not roll over, so it’s important to use the benefit according to the plans’ benefits before it expires.

Answered by Hudson Albert on April 1, 2026

Broker Licensed in TN, AL, AZ & 20 other states

Answered by Hudson Albert Medicare Insurance Agent

Diane Poythress · Answer

Yes, it allows members to purchase eligible health and wellness products using a prepaid card. These cards are typically loaded with a set allowance, either monthly or quarterly, and can be used at participating retailers like CVS, Walgreens, Walmart, and others, or through mail order or online platforms.

Answered by Diane Poythress on August 15, 2025

Agent Licensed in AZ, CA, FL & 7 other states

Answered by Diane Poythress Medicare Insurance Agent

Bill Slaughter · Answer

It depends on the OTC benefit, but some use at participating stores like a credit card; some do mail order. Often, they go unused.

Clare Goyette · Answer

Most use these benefits. The prices in the insurance company catalogs are not usually well priced.  The benefits can be accessed at a physical store or through the carrier portal.

Vachik Chakhbazian · Answer

These cards allow you to purchase eligible health and wellness products at participating retailers.

Gary Henderson · Answer

some insurance companies provide these cards that are limited $ and expire. Usually once per quarter. However, the plans that offer these will usually increase your max out of pocket costs, which you incur when you are ill. Typically will be 7000-10000 dollars per year. 
The more perks they offer you for free as bait, the more it costs you when you get ill.
Avoid them

Carol Thompson · Answer

Yes, most of my clients rely on the OTC benefits monthly or quarterly. 

Some carriers offer cards where you can purchase items in retail stores and some give you an option to set up a profile on their website site to order online or to call in the OTC 3rd party program to place an order monthly or quarterly.

Andrew Kelly · Answer

Yes, many of my clients also use over-the-counter drug cards. They typically compare the discount with the card, Good RX, for example with what the cost would be, using their insurance and choose the most affordable option.

Answered by Andrew Kelly on October 27, 2025

Agent Licensed in WA & OR

Answered by Andrew Kelly Medicare Insurance Agent

Eizel Mere · Answer

I advice all my clients to use every penny of the over the counter! It depends on the plan you have, you can have a health card that looks like an atm, you can have a separate benefits card ir you may have to order from a catalog. Feel free to contact me for mor information.

Answered by Eizel Mere on April 28, 2025

Broker Licensed in FL

Answered by Eizel Mere Medicare Insurance Agent

Ben Washington · Answer

Do your clients use Medicare Advantage over-the-counter drug cards? How does that work? Yes 
Depending on carrier cashier scan barcode on the card or some use debit like card in the store. Also they have apps

Andre Cabral · Answer

Some Medicare Advantage carriers offer "additional benefits", which include the "OTC" (Over The Counter) Card. These cards vary from carrier to carrier, from plan to plan, from about $35.00 per quarter to $300.00 per month. Some of these plans even allow you to use the card to pay for food and some utility bills in your name, at designated stores.

Answered by Andre Cabral on July 14, 2025

Agent Licensed in NJ

Answered by Andre Cabral Medicare Insurance Agent

William Scott · Answer

Yes! The OTC Cards are usually used in online ordering. However, some carrier cards give you the option of ordering online or purchasing your OTC products direct from the grocery store or pharmacy.

Larry Pereiro · Answer

Yes they do, they get vitamins, supplements, pain relievers such as Tylenol and much more, toothpaste, toothbrush, healthy food items, i continence supplies, etc.

Shahwali Hotaki · Answer

Yes, many of my clients use the Medicare Advantage over-the-counter (OTC) drug cards. These cards provide a set dollar amount—often quarterly—that can be used to buy health-related items like pain relievers, vitamins, and first-aid supplies at approved retailers or online. It’s a great way to save money on everyday essentials.

Answered by Shahwali Hotaki on August 7, 2025

Agent Licensed in CA, CO, GA, IL & VA

Answered by Shahwali Hotaki Medicare Insurance Agent

Tony Hardwick · Answer

Many Medicare Advantage (Part C) plans include a separate drug card benefit that provides extra savings or allowances for over-the-counter (OTC) medications or prescription drugs. These cards help lower out-of-pocket costs for items not fully covered by traditional Medicare. Over the counter items include: cold medicine, vitamins, first aid items, and other non-prescription items.

Answered by Tony Hardwick on April 28, 2025

Broker Licensed in GA, AL, AR & 32 other states

Answered by Tony Hardwick Medicare Insurance Agent

Robert Nunn · Answer

Yes some clients use Good Rx , Fred’s, the Canadian med store , The secret is to research and ask your agent to assist .

Nora Alishahi · Answer

Depending on the Medicare plans, there are different levels of coverage provided with the OTC cards.

Ray Rios · Answer

Some Medicare Advantage beneficiaries do use the OTC Benefits, others are dismissal for the lack of computer usage, app usage or even knowing how to order their OTC. Companies keep these unused funds.

Answered by Ray Rios on November 7, 2025

Agent Licensed in AZ, CO, FL & KY, MO, NM & TX

Answered by Ray Rios Medicare Insurance Agent

Jose Felix Arevalo · Answer

Many Medicare Advantage plans include OTC drug cards.
They provide a prepaid allowance (usually monthly or quarterly) that members can use to buy eligible over-the-counter items like pain relievers, cold medicine, vitamins, and first-aid supplies.
How it works:
-The plan loads money onto a card or member account
-It’s used at participating stores or online
Only approved items are covered
-Unused funds usually don’t roll over.
Not all plans offer it, and amounts vary by plan.

Jamie Blake · Answer

Each Provider's over-the-counter benefit can be different.

In general, the member can order by phone or online and it is shipped to them.  They can also walk into the designated store(s) and purchase the OTC products to take with them.

Paul Mercier · Answer

Most of my clients use the OTC card. How the OTC system works varies by each carrier. Most you can use over the phone or on line and some you can use in the specific store

Irma Lopez · Answer

Yes, many Medicare advantage plans offer extra benefits like an OTC spending card to purchase over-the-counter drugs. The plan will allow a set monthly or quarterly amounts (depending on the plan) where beneficiaries can use for this purpose. Some plans allow rollovers where the unused amounts rollover to the next period (monthly/quarterly) but some don’t. You’ll need to discuss the different plans available offered in your area, that would best suit your needs.

Answered by Irma Lopez on October 1, 2025

Broker Licensed in TX, AL, FL, LA, MI & NE

Answered by Irma Lopez Medicare Insurance Agent

Diana Pedersen · Answer

Medicare Advantage plans that offer over-the-counter (OTC) allowances will load the benefits either onto a prepaid debit card or on a membership card to be used per the plan guidelines for the year. This offers members a convenient way to shop online or at specific retailers for these OTC products.

Answered by Diana Pedersen on April 28, 2025

Agent Licensed in WA & ID

Answered by Diana Pedersen Medicare Insurance Agent

Heather Johnson · Answer

I sit with each client and ensure they receive all benefits that they are entitled to. For the ones that qualify for the extra benefits, the money gets loaded onto their medicare ID by the Centers for Medicaid and Medicare so that they can take them to the store and use them. Simply present your ID to the cashier and they will help you, much like a debit card!

Answered by Heather Johnson on August 28, 2025

Broker Licensed in MO, IA, KS & NE

Answered by Heather Johnson Medicare Insurance Agent

Troy Albrecht · Answer

Based on feedback during Open Enrollment plan reviews with current clients, it seems like the vast majority of my clients who have Medicare Advantage plans do utilize their over-the-counter (OTC) benefits.

OTC benefits vary a bit by carrier but generally the carrier will issue members a payment card automatically loaded quarterly with an allowance to spend for health goods such as vitamins, bandages, OTC medicine, etc. This generally can be used like a debit card at participating stores, the OTC portal or placing an order over the phone. Some plans will also allow you to spend these funds on select groceries if you are diagnosed with qualified chronic conditions.

Coming into 2026, we saw many plans make drastic cuts to this benefit. When carriers scale back benefits, this is usually one of the first ones to go. I would caution anyone not to let this benefit exclusively convince you to choose one plan over another as it becomes a minimal amount of money (that changes often) when compared against actual medical benefits.

Ranjit Badhan · Answer

Yes many Medicare Advantage plans provide OTC cards and clients can buy over the counters items mainly drugs or food items , vitamins etc . Every plan has monthly limits and OTC cards work as debit cards and clients can buy permitted items from the designated shops or they place online orders.

Answered by Ranjit Badhan on January 26, 2026

Agent Licensed in CT, FL, MA & NY, OH, TX & WA

Answered by Ranjit Badhan Medicare Insurance Agent

Jason York · Answer

Some plans offer an over the counter card. That can be used at may drug stores like cvs, walgreens, or walmart etc for over the counter medications or vitamins, bandaids, tynelol, or personal care items etc.

Answered by Jason York on September 10, 2025

Broker Licensed in FL, AL, AR & 17 other states

Answered by Jason York Medicare Insurance Agent

Do your clients use Medicare Advantage over-the-counter drug cards? How does that work?

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