Each Fall, Read This Annual Notice for Medicare Changes

Takeaways

• Review your Annual Notice of Change (ANOC): Each September, your Medicare Advantage or Part D plan sends an ANOC outlining changes for the coming plan year. Reviewing this document can help you find a plan with better coverage or a more affordable price.
• Check for cost changes: The ANOC will detail shifts in your out-of-pocket costs, such as changes to medication formularies, copayments, premiums, and deductibles. Being aware of these can prevent unexpected higher expenses in the new year.
• Verify provider and pharmacy networks: Your ANOC will also inform you if your current doctors or pharmacies will remain in your plan’s network. This helps ensure your preferred providers are still covered.

Even if you are satisfied with your current Medicare coverage, it is still a good idea to review the Annual Notice of Change that Medicare Advantage and Medicare Part D plan members receive each September. In reviewing changes to your current plan or considering other Medicare options for the coming year, you might discover a plan that not only offers better coverage than what you have now, but also one that has a more affordable price tag.

Should you find a more suitable plan option, you will then have from October 15 to December 7 — a timeframe known as Medicare’s Open Enrollment Period — to implement certain changes to your existing plan.

What Is the Annual Notice of Change?

The Annual Notice of Change (ANOC) will outline forthcoming changes to your Medicare plan starting in January of the coming calendar year. This comprehensive notice is designed to ensure you are fully informed about any shifts in your health care coverage. Changes may include shifts in your costs, plans with prescription drug coverage, the network of providers, or other benefits.

Your plan must send you this notice via snail mail or email. If you have not received it by September 30, contact your plan directly to inquire. Early communication can prevent any unforeseen disruptions or surprises when the new plan year begins.

Why Do I Need to Review My ANOC?

1. You might end up with higher out-of-pocket costs. If you are not looking over your ANOC, you may remain unaware of an important pending change to your plan that will soon cost you more money.

If your Medicare plan includes prescription drug coverage (Part D), the ANOC will detail any alterations to your formulary (the list of covered drugs), tier structure, and cost-sharing for specific medications. This is particularly important for individuals managing chronic conditions or who rely on specific prescriptions. Otherwise, you may end up paying a great deal more at the pharmacy once January arrives.

Copayments for monthly premiums and deductibles also can shift from year to year. Be sure to look through your ANOC for any potential cost increases. Understanding these cost changes is vital for budgeting and financial planning for your health care needs.

2. Your medical provider may no longer be covered. Do you have a longtime physician or a certain specialist you particularly like? If you take the time to review your ANOC, you may discover that those providers will no longer be in your network in the new year. Changes to your plan’s network of doctors, specialists, hospitals, and other health care facilities will be clearly stated in the notice.

Make a list of your current preferred providers and pharmacies and then check your ANOC to ensure those providers are still included. It’s essential to review this section of your ANOC to ensure that your preferred providers remain in-network, or to identify new in-network options.

3. Your current plan may no longer be the best fit for you. Whether you loathe having to jump through hoops to secure a referral or have recently been diagnosed with a health condition that will likely require treatment from a specialist next year, do not throw your ANOC into the recycling bin or file cabinet without taking a closer look. You could be missing out on a plan that better suits your current, or anticipated, health needs.

The ANOC may also highlight changes to other supplementary benefits offered by your plan, such as dental, vision, hearing, fitness programs, or over-the-counter allowances. These benefits can significantly impact your overall health care experience and financial expenses.

Additional Resources

To explore your options and compare Medicare plans in your area, check out Medicare’s online Plan Finder tool.

Questions? Medicare beneficiaries can call 1-800-MEDICARE or contact their State Health Insurance Assistance Program for unbiased guidance.

To learn more about various aspects of the Medicare program, be sure to check out the following articles:

• 6 States to Pilot Prior Authorizations for Original Medicare
• Entering and Leaving Medicare Advantage Plans
• Medicare Savings Programs: Get Help With Medicare Costs