Now that we are in the New Year there are some things you should remember about your Part D prescription drug plans. In the fall (September and October) of each year, the Part D insurance companies send out a letter called ANOC. This acronym means ‘Annual Notice of Changes’ with emphasis on ‘Changes’. The companies are telling you what their changes will be so it’s important to pay attention to that letter. There are 5 possible changes to your Part D plan when the ANOC gets mailed to you. They are: (1) Premiums, (2) Deductibles, (3) Co-Payments, (4) Tiers and (5) Formulary.
An important change that many people on Medicare forget is the deductible under the Part D drug coverage. For 2017, the standard deductible is now $400, unless your plan specifically has a $0 deductible. If your costs suddenly seem to increase in January it could be due to the fact that you’ll need to initially meet your $400 annual deductible. Once you’ve met the deductible your copayments will decrease to the discount rate again. Even if your plan as a $0 prescription deductible you may find your co-pays have increased.
There has been a recurring problem that many Medicare beneficiaries discover in January of each year. Most people assume that if their Part D plan covered their medications in 2016 that it will cover the same way in 2017. Wrong! You have a right to appeal and get a formulary exception. Also, check out the web site GoodRx.com to shop local prices.
If your Part D plan has made changes you are still allowed to get a 30 day refill during the first 90 days after the plan changes go into effect. For most, that will be through March of each year. Once you get that refill, the Medicare Part D plan will send you a letter advising you that the drug will no longer be covered.
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