Rebecca Scandaliato, Vice President of Employee Benefits, addresses the significance of the Medicare Part D Disclosure Notice.
The Medicare Part D Creditable or Non-Creditable Coverage Disclosure Notice needs to be sent out by Employers who sponsor group health plans that offer prescription drug coverage to Medicare-eligible individuals prior to the annual open enrollment period for Medicare Part D that begins on October 15th. This letter notifies Medicare-eligible individuals whether the plan’s prescription drug coverage is creditable coverage, meaning the coverage is expected to pay, on average, as much as the standard Medicare prescription drug coverage. Individuals who do not maintain creditable coverage for 63 days or longer following their initial enrollment period for Medicare Part D may be required to pay a late enrollment penalty. Accordingly, this information is essential to the decision to enroll in a Medicare Part D prescription drug plan.