Medicare's Annual Enrollment Period (AEP), What Does It Means And What Can You Do During The AEP?

Michael T. Braden August 28, 2024 GENERAL MEDICARE INFO

The Medicare Annual Enrollment Period (AEP) runs from October 15th through December 7th every year.

A REMINDER FOR THE FALL MEDICARE ANNUAL ENROLLMENT PERIOD THAT HAPPENS EVERY YEAR FROM OCTOBER 15th - DECEMBER 7th.

THE MEDICARE ANNUAL ENROLLMENT PERIOD

Well, it is time to stock the pantry with Orville Redenbacher's Microwave Popcorn and Hot Chocolate, as we are only 4 weeks away from the Medicare Commercial blitz that kicks off the Medicare Annual Enrollment Period.

I know most Medicare Beneficiaries understand what they can do and what tasks to complete during the Annual Enrollment Period (AEP), which begins on October 15th and continues for a specified duration. Tasks to complete during the Annual Enrollment Period (AEP), which starts on October 15th and continues for a specified duration.through December 6th each year.

Hopefully, this article is a quick read and full of timely information, serving as both a reminder and a call to action where applicable. Enjoy....................................

WHAT EVERY MEDICARE BENEFICIARY SHOULD DO DURING THE MEDICARE ANNUAL ENROLLMENT PERIOD

1. Read the Annual Notice of Change Letter (ANOC) or the Annual Notice of Change packet you will receive beginning in September. This letter explains any changes to your Medicare Part D Prescription Drug Plan for the new year, starting on January 1st. That way, you know what the premiums will be if you make no changes.

MEDICARE ANNUAL NOTICE OF CHANGE LETTER (ANOC)

2. Everyone should have a list of their Prescription Medications. If there have been any new medications or any that you no longer need to take, adjust your list accordingly. I suggest that everyone send a copy of their Prescription Medication list to their Medicare Broker or Medicare Agent at least every other year to ensure they have the best plan at the lowest cost, including both the premium and the costs of their drugs. Also, please include the name of your preferred pharmacy that is convenient for you to use. This matters when comparing plans.

3. If you have a Medicare Advantage Plan, please update the list of any Doctors you see regularly. This is the most crucial factor if you plan to stay with Medicare Advantage, because not every Doctor is associated with every plan.

4. Try to make a list of everything you have spent out of pocket for your healthcare during the year, so you have an idea of how much you have spent. Do not worry about including your Medicare Part B premium; everyone must pay it, whether they have Original Medicare or a Medicare Advantage plan.

5. Once these tasks are completed, you really should call or email your Medicare Broker or your Agent and ask them to compare what the cost would be for you to have a Medicare Supplement Plan G and Original Medicare. Compare that amount with your out-of-pocket expenses to date, and determine the current monthly premiums. This is especially helpful if you have not checked rates in years.

DIFFERENCES BETWEEN A MEDICARE AGENT AND A MEDICARE BROKER

This is probably the best time of year for us to illustrate the differences between a Medicare Broker and a Medicare Agent:

A Medicare Insurance Agent is typically considered captive. This means they usually represent only one or two Insurance companies and are licensed and accredited. Some agents can only offer Medicare Advantage or Medicare Supplement Plans from their company; not every agent offers both.

A Medicare Broker is duly licensed and contracted to offer plans from multiple insurance companies that provide Medicare Insurance. It takes a lot more time, effort, and experience to become a licensed broker.

For example, an Agent may be contracted with Devoted Health and Humana. Using Braden Medicare as an example, we are contracted with AARP, Allstate, Aetna, Amerigroup, Anthem, Aflac, Ace Medicare Supplements, Bankers Fidelity, Banner Health, BCBS, Cigna, Capital Life, Devoted Health, Gold Kidney, Globe Life Life Insurance, Humana, ING, Lasso, Manhattan Life, Medico, Mutual of Omaha, Nassau, National General, Philadelphia Life, Republic Life Insurance, Royal Arcanum, United American, United Healthcare and United States Fire Insurance. We offer every Medicare Part D Plan in Arizona and are licensed in Florida, Indiana, Iowa, Nevada, New Jersey, New Mexico, Ohio, Pennsylvania, Texas, and Wisconsin.

THINGS YOU CAN DO DURING THE ANNUAL ENROLLMENT PERIOD

• You can change your Medicare Part D Prescription Drug Plan or keep your current plan for the coming year, provided it is still available and remains the best option for you.

• If you have Medicare Advantage, you can continue with the same plan for the next year if yours is still available, or you can switch to a new plan entirely.

• If, after comparing your out-of-pocket expenses, you decide you have more control, better coverage, and the freedom to see any doctor and go to any hospital you desire, you can disenroll from Medicare Advantage and return to Original Medicare. If you decide to return to Original Medicare, you will need to pass underwriting to purchase a Medicare Supplement policy. It is a good idea to ensure you are accepted by the new plan before contacting your Medicare Advantage plan to cancel.

NOTE: Any changes made will not take effect until January 1st, and the last day to make changes that will take effect on January 1st is December 7th. This is always the busiest time of the year for Medicare. So, it is best to make your decisions sooner rather than waiting until the end. Plus, you will feel more comfortable if you have all of your new ID Cards and Plan details in your Wallet/Purse before the end of the year.

WHAT HAPPENS IF YOU MISS MAKING YOUR CHANGES BEFORE THE MEDICARE AEP DEADLINE ON DECEMBER 7th?

If you get tied up or distracted and you do not meet the deadline of having your changes in by December 7th, here is what happens:

1. You will have the same Medicare Part D plan you had last year, and you must keep it for all of 2024 unless you qualify for an SEP (Special Enrollment Period).

2. If you want to change your Medicare Advantage Plan to a new plan, you have to wait until January 1st - March 31st during the Medicare Open Enrollment Period. Then you can make changes for the coming year.

3. If you have a Medicare Advantage plan and want to switch to Original Medicare and get a Medicare Supplement, you will not be able to do so until next Fall, unless you qualify for a Special Enrollment Period (SEP) during the coming year.

WHAT IF YOU DECIDED NOT TO DO ANYTHING DURING THE ANNUAL ENROLLMENT PERIOD (AEP)?

If you already have an Original Medicare and a Medicare Supplement plan in place, you do not need to do anything. With a Medicare supplement, you can change your Medicare Supplement company anytime throughout the year. You will need to pass underwriting, but for 80% of applicants, that is straightforward. You can check premium rates at any time of the year.

If you have Original Medicare with or without a Medicare Supplement or Medigap plan, your current Medicare Part D Prescription Drug Plan will be your Medicare Part D Prescription Drug plan for the coming year. You cannot change Medicare Part D Drug Plans in the middle of a plan year without qualifying for a Special Enrollment Period.

If you have a Medicare Advantage Plan that includes Drug coverage and you do not make any changes, you will continue in the same plan for the coming year. However, if that plan is no longer available in your area, you will be dropped. You cannot join a new plan until the Open Enrollment Period (Jan - March), and coverage will not start until April 1st.

STILL HAVE QUESTIONS?

I think it is safe to say that if you have a rapport with your Medicare Agent or Medicare Broker, you should feel comfortable calling them at any time of the year. But sometimes people move or leave the business and do not stay in touch. If you or anyone you know ever finds themselves without a Medicare Broker/Agent, please call us or have your friend or relative call us anytime. We will always make time to chat with anyone, answer their questions, and help point them in the right direction. If we cannot help them, we will refer them to a licensed professional in their area. As a reminder, you will never be charged a penny for receiving help or advice from an independent, licensed Medicare Broker.

Anyone can visit us at www.bradenmedicare.com anytime, 24 hours a day. You can find out just about anything you need to know about Medicare, Medicare Advantage, and Medicare Prescription Drug plans 24/7. You can email me anytime at mike@bradenmedicare.com or reach me directly at (480) 418-7968. We are also Certified Medicare Specialists. We care about our clients, are passionate about the service we provide, and speak Medicare fluently!