Not paying close attention to your medicare Plan's Annual Notice of Changes could cost you.
If you have a Medicare Advantage or Part D prescription drug plan, you’ll want to read this post.
By now, you should have received an envelope labeled with “Important Plan Information” in bold type. If you’re like most, you probably don’t recall getting this Notice, which can be 15-30 pages or more, depending on your plan and the changes, or you didn’t pay attention.
By law, sponsors of Medicare Advantage or Part D drug plans must send an Annual Notice of Changes (ANOC) to all plan members at least 15 days before the start of Open Enrollment on October 15. This Notice outlines changes in the plan’s benefits, coverage, formulary, premium and/or costs that will take effect January 1. It is your chance to determine whether your plan will meet your needs and be cost-effective in 2021. If you determine the plan won’t work, you have the chance to check out other plans and make a switch by December 7. If you don’t pay attention, the plan will renew automatically and then you’re stuck with the changes for another 12 months. (Sometimes experience is the best teacher. Last year, many missed the fact that the premium of their drug plan would double.)
The Centers for Medicare and Medicaid Services (CMS) sets some very specific requirements, including formatting, adding a logo, renumbering sections, and providing a table of contents. Every plan’s Notice looks very much the same. Because this is an important document, you need to read it and be able to interpret it.