Annual Medicare Part D Notification Requirement
Must Distribute Notice to Employees prior to October 15th
What is the notification?
Under the Medicare Modernization Act (MMA), Medicare eligible individuals must be notified whether or not their prescription drug coverage is creditable; creditable coverage meaning that such coverage is expected to pay on average as much as the standard Medicare prescription drug coverage.
When do I need to send the notification?
Notification of Creditable Coverage is an annual requirement and must be provided
prior to October 15th
(the beginning of the annual enrollment period for Medicare Part D). Notices must also be sent:
- Prior to an individual's initial enrollment period for Medicare Part D prescription drug benefit;
- Prior to the effective date of coverage for any Medicare-eligible individual who joins the plan;
- Prior to any change in the creditable status of an employer's plan; and
- Upon a beneficiary's request.