Employers that have (or soon will have) health plan participants eligible for Medicare Part D must send out a notice annually (and upon any plan change) advising those participants about the Medicare Part D creditabiltiy status of their prescription drug benefits. 

  

Prescription drug plans are considered either 'creditable' or 'not creditable' based on guidelines set up by the CMS. Health plan participants will use this information to decide if they would enroll in Part D or not.  If they do not enroll in Part D when eligible and do not have other creditable coverage they can be subject to a penalty.   Insurance carriers publish a list regarding the status of each plan. If you have any questions about the status of your plan please give us a call.

 

The notices are due out by October 15, 2011 this year which is a month earleir than previous years.

 

Sample notices may be found at https://www.cms.gov/CreditableCoverage/Model%20Notice%20Letters.asp#TopOfPage

As always please feel free to contact us with any questions.

 

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