Consumer Tips

Prescription card vs. insurance card: Knowing the difference

Union Plus Content Team

July 23, 2025

Prescription discount cards and insurance cards serve different purposes—but both can help reduce your costs at the pharmacy.

Discount cards

Discount cards offer savings and coupons on medications, especially for prescriptions not covered by your insurance. While you can’t use both cards together for the same purchase, it’s smart to carry both — you can compare prices at the counter and choose the lower one. Knowing how these options work can help you and your family save more on medications. 

What is an insurance card? 

Your insurance card provides key details about your health coverage. You’ll need to show it when visiting a doctor or filling a prescription so the provider or pharmacy can verify your benefits and bill your insurance company for covered services.

It usually includes your name, member ID, plan name, and policy number.

Your insurance card won’t list which medications are covered, but you can find that information in your plan’s formulary—a list of approved drugs.

The formulary is usually available on your insurer’s website in the summary of benefits and coverage section. You can also call your insurance provider or check any documents they’ve sent to confirm if a specific medication is covered.

How prescription discount cards work

Prescription discount cards offer immediate savings—especially on medications not covered by insurance. They’re free to sign up for and can be used right away by showing the card (or coupon) at the pharmacy. No need to submit claims or wait for reimbursement.

Keep in mind: If you use a discount card, the amount you pay likely won’t count toward your insurance deductible or out-of-pocket maximum.

Which saves you more?

If your medication is covered by insurance, using your insurance card may save you more overall— even with a copay or coinsurance. But if it’s not covered, a discount card like the Optum Perks Discount Card could offer significant savings — sometimes up to 80% off.

Can You Use Both?

Not at the same time. You’ll need to compare prices at the pharmacy and choose whichever option offers the lowest out-of-pocket cost.