One of the most popular extra benefits offered through Medicare Advantage plans is the over-the-counter (OTC) benefit card — a prepaid card loaded with money you can spend on everyday health items, sometimes even groceries or utilities.
What Is an OTC Benefit Card?
An OTC benefit card is a prepaid benefit card provided by your Medicare Advantage plan. Depending on the plan, it may be loaded with a set amount of money each quarter or month that you can spend on approved items.
The card works like a debit card at participating stores or through an online catalog — you simply shop for eligible items and the balance is deducted from your benefit card.
What Can You Buy with an OTC Card?
Eligible items typically include:
- Pain relievers (ibuprofen, acetaminophen, aspirin)
- Cold and allergy medications
- Vitamins and supplements
- Bandages, first aid supplies
- Dental care products (toothpaste, toothbrushes, denture adhesives)
- Vision care items (reading glasses, eye drops)
- Incontinence supplies
- Blood pressure monitors and diabetic supplies
- Personal hygiene products
Some plans with a "flex card" or "grocery benefit" may also allow spending on healthy foods, utilities, or even rent assistance — though this varies significantly by plan and location.
How Much Money Is on the Card?
Benefit amounts vary widely by plan and location. Common amounts range from $50 to $250 per quarter, though some plans offer more. The benefit may not roll over if unused, so it's important to use it each period.
How to Get an OTC Benefit Card
You don't need to apply separately. If you're enrolled in a Medicare Advantage plan that includes an OTC benefit, you'll automatically receive the card. To get started:
- Compare Medicare Advantage plans in your area that include OTC benefits
- Enroll during an eligible enrollment period
- Your card will be mailed to you after enrollment
- Activate the card following the instructions included
Where Can You Use the Card?
Most OTC benefit cards are accepted at major retailers including Walmart, CVS, Walgreens, Rite Aid, Dollar General, and online through the plan's OTC catalog. The exact store list depends on your specific plan.