Recent Top News

What are my options if I want Medicare prescription drug coverage?

What do I need to consider when choosing a plan?

Compare plans and select the one that best meets your individual needs. Consider:

• If all of your prescriptions are on the plan’s list of drugs (called a formulary). 
• If your preferred pharmacy is on the plan’s list.
• What co-payments you will be responsible for paying when filling a prescription. 
• If the premium, deductible and cost-sharing requirements for your preferred plan is affordable.
• If there is a coverage gap where you are responsible for all of the costs, and whether this is affordable. 
• If it is a Medicare Advantage plan – review the network rules and if your current providers (such as doctors and hospitals) are covered.
• How enrollment in the new plan impacts coverage you already have (including employer-sponsored or other retiree coverage or a Medicare supplement insurance plan) or your enrollment in original Medicare.  

What if I am already enrolled in a Medicare prescription drug plan or a Medicare Advantage Plan with prescription drug coverage?

Plan features might change from year to year. Carefully examine all available plans during the annual enrollment period because your current plan may no longer best meet your needs. Review the features of your plan, including the list of drugs covered, the list of participating pharmacies, the premium, the deductible, the cost-sharing requirements, the provider network and any coverage gaps. You do not need to do anything to remain in your current plan. If you enroll in or make changes to your plan during the annual open enrollment period, your new coverage begins Jan. 1, 2010. You should continue to pay premium for your old coverage through Dec. 31, 2009.

What if I already have other prescription drug coverage?

A Medicare prescription drug plan might provide more coverage than a Medicare supplement insurance (Medigap) policy or your current employer-provided prescription drug coverage. If Medicare considers your existing coverage to be “creditable” – meaning, coverage that is as good as the standard Medicare prescription drug coverage benefit – you are permitted to keep your current coverage without incurring future penalties. However, if you do not enroll in a Medicare drug plan when you are first eligible for Medicare, and you do not have other creditable prescription drug coverage, you may be subject to a penalty if you decide to enroll at a later time. Check with your employer or Medigap plan before dropping an employer-provided prescription drug coverage or Medigap plan because you may not be able to get it back.

What if I am enrolled in a Medicare Advantage plan that is not renewing for 2010?

Certain Medicare Advantage plans (including some with prescription drug coverage) have chosen not to renew their contracts with CMS for 2010. If you have received notice that your plan will not renew in 2010, you should have received information about your options for selecting a new Medicare Advantage plan or returning to original Medicare. If you return to original Medicare, you can still apply for Medicare prescription drug coverage and/or Medicare supplement (Medigap) coverage.

Marketing Rules

State and federal rules are in place to protect consumers against abuses in the marketing and sales of Medicare prescription drug plans and Medicare Advantage plans. Individuals who contact you about any type of private Medicare coverage:

• Must be licensed by the state. Check with the Alabama Department of Insurance to make sure the salesperson is a licensed agent.
• May not make unsolicited contact such as door-to-door sales, cold calls or approaching you in a parking lot.
• Must have made an appointment before coming to your home.
• Must arrange in advance the type of products that will be discussed during a scheduled sales appointment. At the appointment, the salesperson may not try to sell you other types of insurance coverage other than the type(s) agreed upon in advance.
• May not try to sell you non-health care related products (like a life insurance policy or an annuity) during a sales or marketing presentation of a Medicare prescription drug or Medicare Advantage plan.
• May not attempt to sell you a plan in certain health care settings, such as in a doctor’s office or in a pharmacy.
• May not attempt to sell you a plan at an educational event.
• May not offer you free meals at promotional or sales events.
• May not offer you gifts or other promotional items whose value is in excess of $15.

Medicare Fraud

• Beware of door-to-door sales people. Remember, agents cannot solicit business at your home without an appointment. Do not allow uninvited agents into your home.
• Do not give out personal information, such as Social Security numbers, bank account numbers or credit card numbers to anyone you have not verified as a licensed agent. People are not allowed to request such personal information in their marketing activities and cannot ask for payment over the Internet. They must send you a bill. Once you decide to purchase a plan and have verified that the agent is licensed, you may give the agent personal information to assist in enrollment and billing.
• Verify that the plan you have chosen is an approved Medicare plan. All of the approved plans are available at www.medicare.gov  or by calling 1-800-MEDICARE (1-800-633-4227).

Other Important Considerations

Medicare beneficiaries may seek assistance in reviewing options for coverage and obtaining financial assistance by contacting their State Health Insurance Assistance Program (SHIP).

Health Insurance

1. Is the vaccination covered by my insurance?

• The seasonal flu vaccine and the H1N1 flu vaccine will be administered separately. Because H1N1 vaccinations have not yet been authorized by the Food and Drug Administration, they may not be covered by health insurance. Check with your insurance company to verify that your coverage will extend to the H1N1 vaccine.

2. Do I have a cost-sharing responsibility for the vaccinations?

• Many health insurance policies have co-payments for yearly flu vaccinations. Ask your insurance company if you will have a co-pay for the H1N1 vaccine and what the cost will be.

3. If an office visit is required to obtain the vaccinations, does it require a separate co-payment?

4. Does your policy require a pre-authorization for hospital admission or other services?

5. What is your co-payment for the most common H1N1 treatments?

• The two drugs doctors can prescribe to treat H1N1 flu are Tamiflu and Relenza. In addition, you should know of any limitations on the number of doses covered by your policy – per prescription or per year.

6. Does your policy cover over-the-counter medications?

7. Is your coverage accepted at walk-in care facilities?

• If your area is heavily affected by the spread of the H1N1 flu outbreak, your regular physician might not be able to see you in a timely manner.

8. What is your out-of-network co-payment? 

• If you must go to an out-of-network provider, be aware you will likely pay a higher co-payment for your office visit and any tests run during the visit.

Be prepared for any eventuality with the following checklist:

• Have your health insurance ID card readily available.
• Review your health insurance policy provisions. Know which doctors and hospitals are in your network.
• Make note of your co-payments. Know how much a doctor’s office visit will cost. Check to see if your co-payments go up if you go out-of-network.
• Keep handy a list of pharmacies and medications covered by your health insurance policy.
• If you have plans to travel, make sure you check to see if there are any doctors or medical facilities in-network where you will be visiting.
• Make sure you have contact details for your health insurance company available in case you have questions.
• Ask your employer or insurance company for any and all applicable health insurance information that might be available to you in a simple-to-reference format. Post this information where it can easily be accessed by everyone.

Business Interruption Insurance

More Information