Medicare Part D Disclosure to Individuals Due by October 14 for BCBSNC Customers
Part D Creditable Coverage Notices – Important October Deadline
Employer Groups Must Send to Their Plan Participants by October 15, 2016
You must immediately share the letter below with all of your employer groups.
The Medicare Prescription Drug, Improvement, and Modernization Act of 2003 (MMA) requires groups that currently provide prescription drug coverage to Medicare beneficiaries to disclose whether the entity’s coverage is “creditable prescription drug coverage.” Beneficiaries who do not have creditable coverage through the group and delay their enrollment in a Medicare Part D plan will be required to pay a late-enrollment penalty.
Blue Cross and Blue Shield of North Carolina (BCBSNC) annually contracts Milliman to perform analysis of BCBSNC’s benefit designs to satisfy the actuarial value test of the creditable coverage determination. Milliman’s findings are included in a letter (attached below) along with a brief explanation of MMA.
Here are a few key points regarding the MMA requirement:
– The employer group must communicate their creditable or non-creditable status to their members.
– The determination is mandatory at least once a year, and the deadline for completion is October 15, 2016.
– The employer groups, not BCBSNC, are responsible for sending creditable coverage notices to members.
It is the employer group’s responsibility to provide member notification of their plan’s status as creditable or non-creditable under Medicare Part D. Notices of creditable and non-creditable coverage to Part D eligible individuals must now be made prior to October 15, 2016. Please consult the CMS website for updates.
Click here for the plan information.
Click here for the Model Notice for Creditable Coverage.
And, click here for a model group non-creditable coverage letter.