The Medicare Modernization Act (MMA) requires entities (whose policies include prescription drug coverage) to notify Medicare eligible policyholders whether their prescription drug coverage is creditable coverage, which means that the coverage is expected to pay on average as much as the standard Medicare prescription drug coverage.

Covered entities must provide a written disclosure notice to all Medicare eligible individuals annually who are covered under its prescription drug plan, prior to October 15th each year and at various times as stated in the regulations, including to a Medicare eligible individual when he/she joins the plan. This disclosure must be provided to Medicare eligible active working individuals and their dependents, Medicare eligible COBRA individuals and their dependents, Medicare eligible disabled individuals covered under your prescription drug plan and any retirees and their dependents. The MMA imposes a late enrollment penalty on individuals who do not maintain creditable coverage for a period of 63 days or longer following their initial enrollment period for the Medicare prescription drug benefit. Accordingly, this information is essential to an individual’s decision whether to enroll in a Medicare Part D prescription drug plan.

Reminder: Medicare Part D Notice Due Oct. 15 – Aug 2013
http://www.shrm.org/hrdisciplines/benefits/Articles/Pages/Medicare-Part-D-Notice.aspx

Medicare Part D creditable/non-creditable coverage notices due before October 15 – Sep 2013
https://www.buckconsultants.com/portals/0/publications/fyi/2013/FYI-2013-0913-Medicare-Part-D-creditable-non-creditable-coverage-notices-due-before-Oct-15.pdf