What is the Part D 'donut hole' and how has it evolved?

• A. A period after reaching the deductible when beneficiaries pay all costs.
• B. A state-run program that covers all prescription drugs.
• C. The coverage gap where beneficiaries previously paid a larger share; manufacturer discounts and policy design have closed much of this gap, moving toward catastrophic coverage.
• D. The portion of costs covered exclusively by manufacturers' discounts that remains constant.

Answer: (C)