Under Medicare Part D rules, each plan's formulary must include:

Why A is correct

Medicare Part D plans maintain a formulary, or list of covered drugs. The law requires each Part D formulary to include at least two drugs in each therapeutic category and class — a minimum coverage standard designed to ensure beneficiaries have meaningful drug choices. Plans may structure tiers and use prior authorization, but the two-drug minimum per category and class is a core regulatory requirement tested in the Part D objectives.

Why the other options are wrong

• B) Part D formularies must include both generic and brand-name drugs; excluding generics entirely would violate the coverage standards.
• C) Plans are not required to cover every FDA-approved drug; they cover a representative set within each class.
• D) The formulary requirement concerns drug classes, not a comparison to Part B-covered drugs.

Memory hook

Every Part D formulary keeps at least two options per drug class — you are never down to a one-drug monopoly.

Why A is correct

Medicare Part D plan formularies must be comprehensive: they must cover at least two drugs in each therapeutic category and class, with limited exceptions, ensuring that beneficiaries have meaningful treatment choices. Plans are not required to cover every drug on the market, and they commonly use tiers, prior authorization, and step therapy to manage costs. The 'two drugs per category and class' minimum is a specific Part D formulary standard the exam tests, and it is designed to prevent plans from offering only token coverage in important drug classes.

Why the other options are wrong

• B) One drug per class is below the statutory minimum; Part D requires at least two drugs in each category and class, so this option understates the floor.
• C) Part D plans are not required to include every FDA-approved drug; formularies are managed lists, so this option overstates the coverage duty.
• D) Part D formularies include both brand-name and generic drugs, typically with tiered cost-sharing, so this option wrongly eliminates brand-name coverage entirely.

Memory hook

Part D formularies keep at least two drugs in every category — a floor of choice, not an open pharmacy.

Why A is correct

CMS requires every Medicare Part D plan formulary to include at least two drugs in each therapeutic category and class of the U.S. Pharmacopeia classification. This ensures beneficiaries have a meaningful choice of treatments, though plans may use tiers and prior authorization to manage utilization. A plan is not required to cover every FDA-approved drug, and brand-name coverage varies by plan. The two-drug minimum is a specific regulatory standard tested on the exam. Plans may still require step therapy, prior authorization, or quantity limits, but the formulary structure must preserve access to at least two options per class. This balance between choice and cost control is a distinguishing feature of Part D design.

Why the other options are wrong

• B) Formularies must include both generic and brand-name drugs; they are not limited to generics.
• C) No Part D plan covers every FDA-approved drug; formularies are selective with a minimum of two per category and class.
• D) The requirement is a minimum of two drugs per category and class, not a single preferred drug.

Memory hook

Two drugs per class is Part D's promise — a floor for choice, not a warehouse of everything.

Why A is correct

Medicare Part D plans maintain formularies, the lists of covered prescription drugs that define what the drug benefit will pay for. CMS requires each Part D formulary to include at least two drugs in each therapeutic category and class, ensuring that beneficiaries have meaningful choices within every treatment category. Plans may use formulary tiers, prior authorization, and step therapy, but the two-drug minimum protects access and prevents plans from covering a single drug in a category. This minimum is an exact regulatory number in the objectives and should not be confused with an open-formulary requirement, which Part D does not impose.

Why the other options are wrong

• B) Part D formularies must include generic drugs; generics are a staple of every plan's drug list. A brand-only formulary would be unaffordable and is not permitted.
• C) The requirement is two drugs per therapeutic category and class, not one. A formulary covering only a single drug in a category would fail the CMS standard.
• D) Plans are not required to cover every FDA-approved drug. They select a formulary that meets the category and class minimums while managing costs through tiers and utilization rules.

Memory hook

Part D formulary = at least two of every kind. One drug per category is not enough.

Why A is correct

Part D plans maintain formularies that must include at least two drugs in each therapeutic category and class, ensuring access to a meaningful range of treatments. Plans may use tiered cost-sharing and prior authorization, but the minimum formulary standard protects beneficiaries from plans that offer too narrow a drug list.

Why the other options are wrong

• B) A single drug for the whole plan would fail the two-drugs-per-class requirement.
• C) Plans must include both brand-name and generic drugs across categories, not generics only.
• D) Plans are not required to cover every FDA-approved drug; formularies are selective but must meet the two-drug minimum per class.

Memory hook

Two drugs per therapeutic class — the Part D formulary floor.

Why D is correct

Medicare Part D formularies must include at least two drugs in each therapeutic category and class so that beneficiaries have a meaningful choice of treatment within each category. The formulary must also be non-discriminatory and provide adequate coverage across the classes. Plans may use tiered cost-sharing and step therapy, but the two-drug minimum helps ensure that common conditions can be treated without unreasonable formulary gaps.

Why the other options are wrong

• A) A single drug per class is insufficient; the minimum requirement is two drugs in each category and class.
• B) Part D plans are not required to carry every FDA-approved drug; they maintain selective formularies that still meet the two-drug minimum.
• C) Formularies may include brand-name drugs as well as generics; the requirement is not limited to generic products.

Memory hook

Part D formulary floor: at least 2 drugs per therapeutic class. Choice, not a one-size drug shelf.

Why A is correct

Medicare Part D plans must include in their formularies at least two drugs in each therapeutic category and class of covered outpatient drugs. This two-drug rule ensures that beneficiaries have a meaningful choice of treatment within each drug category. The formulary requirement does not obligate a plan to cover every FDA-approved drug, nor is it limited to generics or brand-name drugs; plans design tiered formularies with both, but they must satisfy the two-drug-per-category minimum and maintain it throughout the plan year.

Why the other options are wrong

• B) Plans are not required to cover every FDA-approved drug; they maintain tiered formularies subject to the two-drug minimum per category.
• C) Formularies include both generic and brand-name drugs; the two-drug rule applies to therapeutic categories, not to a brand-only requirement.
• D) Formularies are not generic-only; they include brand-name drugs as well, provided each category has at least two drugs.

Memory hook

Part D formularies: at least 2 drugs per category. A little choice, guaranteed by CMS.