Top 5 Myths About Part D Creditability Debunked

Introduction

There are many misconceptions surrounding Part D creditable coverage. Let’s debunk the top five myths to help clear up the confusion.

Myth #1: All Employer-Sponsored Drug Plans Are Automatically Creditable Not all employer-sponsored drug plans meet the requirements for creditability. Employers need to verify their plan’s status each year.

Myth #2: Employees Don’t Need to Worry About Part D Until They’re 65 Employees who are eligible for Medicare should start thinking about Part D creditability even before they turn 65.

Myth #3: There’s No Deadline for Determining Creditable Coverage Employers must notify employees of creditable coverage annually, so there is a deadline that must be met.

Myth #4: Part D Creditability Doesn’t Affect Employers Employers can face legal risks and penalties if they fail to determine and report creditable coverage correctly.

Myth #5: Employees Can Enroll in Medicare Anytime Without Penalty If an employee doesn’t have creditable coverage, they will face penalties for enrolling in Medicare after their initial enrollment period.

Conclusion

By clearing up these myths, you can ensure that both employers and employees make informed decisions about their healthcare coverage.