What if I did not get the Part D Prescription Drug Plan during my initial enrollment?
Part D of Medicare is your prescription drug coverage. The Centers for Medicare and Medicaid Services (CMS) says anyone who is 65 years or older should start their Part D during their initial enrollment period. Many of our clients ask “If I do not take any prescription medications, do I have to get that coverage?”
The simple answer is yes, mainly to avoid getting penalized if there comes a time when you do want that coverage. CMS controls that penalty however, the insurance companies are the ones that will to bill you for any penalty charges. There are two ways you can avoid this penalty.
- If you are still employed and your employer offers CREDITABLE drug coverage, you do not have to get Part D initially nor will you incur a penalty if you get a Part D Prescription plan as soon as you retire or if the employer coverage becomes non-creditable. This information can be obtained from your HR department at work. As you approach Medicare age, please do your due diligence to make sure your employer coverage is creditable according to the CMS guidelines.
- You can avoid the penalty if you have a Medicare Advantage plan that includes a Prescription Drug plan. Alternately, you may choose to purchase a stand-alone Prescription Drug plan from an insurance carrier. The stand-alone plan can be an option if you elect to keep Original Medicare and/or choose to enroll in a Medicare Supplement plan.
This can get confusing but, we are here to help. Please call to schedule an appointment today!
