Universal American Financial Corp. says it will be selling stand-alone prescription drug plans with a unit of CVS Corp. throughout most of the United States in 2007.

Universal American, Rye Brook, N.Y., has received permission from the Centers for Medicare and Medicaid Services to work with PharmaCare Management Services Inc., a subsidiary of CVS, Woonsocket, R.I., in 32 of the 34 CMS regions.

The only regions where CVS and PharmaCare will not offer their “Prescription Pathway” products are in Alaska and Hawaii, Universal American says.

Universal American also will be eligible to receive auto assignment of beneficiaries who are eligible for both Medicare and Medicaid in 28 of the 32 CMS regions, up from 26 this year. Universal American is adding auto-assignment participation in Ohio and in a region that includes Alabama and Tennessee.

One of the 3 Prescription Pathway plans, the Platinum plan, will cover generic drugs through the “doughnut hole,” or coverage gap, between the end of routine drug benefits and the beginning of catastrophic coverage.

For an individual, the doughnut hole extends from $2,400 in expenditures on drugs to $3,850 in expenditures.

In other Medicare drug plan news:

- Blue Cross and Blue Shield of Illinois, Chicago, a unit of Health Care Service Corp., says it will add a Medicare Part D prescription drug plan in 2007, the Plus plan, that will provide doughnut hole coverage for generic drugs for plan members who exhaust routine prescription benefits.