As a reminder, all employers who sponsor calendar-year group health plans must notify CMS (The Centers for Medicare & Medicaid Services) by March 1 regarding their prescription drug coverage (being considered creditable or non-creditable with Medicare Part D). The deadline follows a 60-day window from the beginning of the plan or policy year, meaning that sponsors of non-calendar year group health plans should calculate the applicable deadline for disclosure to CMS. Participants in group health plans offering prescription drug coverage to Medicare Part D are required to know whether their coverage is creditable to avoid a penalty for a lapse of creditable prescription drug coverage for any period of 63 days or longer.
The notice must be completed on the CMS website, using the Disclosure to CMS Form, which also requires plan sponsors to report the date they sent the Medicare Part D notices to Medicare-eligible plan participants (which were due October 15). Additional information is available at www.cms.gov. Contact your IPS Advisors consultant if you require assistance.
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