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 2015 that it will cover the same way in 2016. Wrong! You may remember what they say about assuming? In the fall of each year, the insurance companies send out a letter called ANOC. This acronym means “Annual Notice of Changes” – emphasis on “changes.” The company is telling you what their changes will be so it’s important to pay attention to that letter. There are five changes that can occur to your Part D plan when the ANOC gets mailed to you: premiums, deductible, co-payments, tiers and formulary.
Photo Cred: Chris Potter
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. You do have options, depending on the reason for the exclusion. With assistance from your provider, you may request a formulary exception. If granted, the drug will be covered, but you could have a higher tier and co-payments.
Also, remember that if your costs suddenly seem to increase in January it could be due to the fact that for 2016, some Part D plans now have $360 annual deductible. Once you’ve met the deductible your co-payments will decrease to the discount rate again.
Keep your eyes peeled each year in September for your ANOC!
If you have questions, leave them in the comment section below. Thanks for reading.
