As you may recall, with the introduction of Medicare Part D prescription drug benefits, the Centers for Medicare and Medicaid Services (CMS) imposed specific notice requirements on employers.
Each year, employers whose healthcare plans include prescription drug benefits are required to notify all Medicare beneficiaries and the CMS of the “creditable” or “non-creditable” coverage status of their prescription drug plan. This notice is due on October 14th, before the open enrollment period begins. (Medicare Part D Open Enrollment is October 15th – December 7th).
Onus on the Employer
Not all carriers are providing notices to their potential Medicare-eligible participants, even if they have assisted in this process in the past. Most carriers are only sending the notice to those individuals they know are already covered by Medicare. Diversified Group recommends you send the notice to all plan participants to ensure that all participants, including spouses and dependents that need the notice, will receive it.
CMS also requires plan sponsors to provide notice of their creditable-coverage status to Part D-eligible members at other times, including:
- Before an individual’s initial opportunity to enroll in Part D (generally satisfied by the requirement to provide notice annually to all Medicare-eligible employees prior to Oct. 15).
- Before the effective date of coverage for any Medicare-eligible individual that joins the employer’s plan.
- When the plan’s prescription drug coverage ends or its creditable coverage status changes.
- Upon an individual’s request.
Helping Diversified Group Clients Comply
If your health benefits plan is administered by Diversified Group, you have been informed of the requirements related to Medicare Part D Notices AND the steps we can take to help your plan comply with all Medicare related communication. If you have questions regarding Medicare Part D Notices, please contact your Diversified Group representative at your convenience.