Almost everyone with Medicare or soon to be eligible for Medicare understands the value of joining a Medicare Part D Plan. The best time to join a Part D Plan is when you first become eligible for Medicare. By joining when you are first eligible you gain valuable coverage and avoid the Late Enrollment Penalty should you decide to enroll at a later date. But what if you want to join, switch or drop a Part D Plan? The Part D enrollment period, known as the Annual Enrollment Period gives you the opportunity.
When Medicare Part D Plans first became available in 2006 there were two distinct times to enroll or make changes. The Annual Enrollment Period (AEP) which originally ran from November 15 through December 31 and the Open Enrollment Period (OEP) which ran from January 1 through March 31.
During the AEP you could make changes with very little restriction. You could enroll in a stand-alone Part D Plan or for example if you live in California join a Medicare Advantage Plan which included Part D coverage (MAPD). You could drop a plan or switch plans as you saw fit. You could even submit multiple applications with the last one received being the plan that you would ultimately join.
The OEP was little more restrictive. You could only make like-to-like plan changes with Part D being the determining factor. You were able to switch to another Part D Plan if you were currently enrolled in one. But were unable to enroll in a Medicare Rx Plan if you neglected to do so in the AEP. This enrollment period gave you the opportunity to make changes to your Part D coverage within the guidelines if you felt it was in your best interest.
People with Medicare liked the freedom afforded by these enrollment opportunities and insurance agents certainly liked being able to help a client who may have joined a plan that was less than beneficial for their circumstances. But the powers that be within the government felt that the Part D enrollment period needed fixing!
January 2011 saw the elimination of the Medicare Open Enrollment Period and the beginning of less choice for people with Medicare. Instead of the OEP a new dis-enrollment period was put in place. This period was only for people who enrolled in an Advantage Plan during the AEP who would like to drop that plan.
During the Annual Dis-enrollment Period which begins January 1 and ends February 14 you are able to drop your Medicare Advantage Plan and return to original Medicare. You can also purchase a different stand-alone Part D drug plan. If you choose, you can also purchase a Medicare supplement but may be subject to the insurance company's underwriting requirements. This does not allow you to switch a stand-alone Part D Plan. You are locked in.
Big changes are in store for Part D Plans with a January 2012 effective date. The Medicare Annual Enrollment Period has been changed. The Annual Enrollment Period for Part D and Medicare Advantage will now begin October 15 and end December 7. The extra week is nice but you better mark your calendar other wise you will be out of luck!
Plan sponsors should be releasing details of their Part D Plans and Medicare Advantage Plans earlier than in years past and information should also be posted on the Medicare website sooner as well. It is your responsibility to be proactive and research any plans you may be interested in prior to the Part D enrollment period end date of December 7.
Don't be one of the tens of thousands that will not get the word about these date changes. Be sure not to miss the opportunity to enroll in the Medicare Part D Plan of your choice.
David Forbes is President of Alliance Marketing Associates, Inc. David enables older adults to make informed decisions to protect their health and wealth. He also offers helpful advice on topics related to insurance for seniors, including information related to Medicare Part D Formularies
Sign up for your Free Mini-Course on Medicare Plans at http://affordablemedicareplan.com/humana-walmart-preferred-rx-plan-lowest-part-d-premium/.
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