Quick question. Is there a fat envelope from your Medicare plan sitting on the kitchen counter right now? Maybe under the water bill, maybe next to the stack of catalogs you keep meaning to recycle?
You’re in good company. That envelope shows up in September, it’s about as thick as an old phone book, and it’s easy to assume it’s more of the same. But this is one piece of Medicare mail worth opening. It’s called your Annual Notice of Change, or ANOC, and it tells you what your plan is changing for next year.
What is the Annual Notice of Change?
If you have a Medicare Advantage plan or a Part D prescription drug plan, your plan has to send you an ANOC by September 30 each year. It lists the changes to your costs and coverage that take effect January 1.
It often comes in the same package as your Evidence of Coverage, which is the much longer book that spells out every detail of your plan. The ANOC is the shorter one. That’s the one to read first.
(If you have Original Medicare with a Medicare Supplement, you won’t get an ANOC. That’s normal, and nothing is missing.)
Why it matters right now
Medicare Advantage and Part D plans can change their costs, benefits, drug lists, and networks every year. If you don’t make a change, you’ll generally stay in your current plan next year, along with whatever changes are listed in that envelope.
The Annual Enrollment Period runs October 15 through December 7. That’s your window to review your coverage and make changes if your plan doesn’t fit anymore, with new coverage starting January 1. Reading the ANOC now gives you time to think it over instead of scrambling the first week of December.
The four things worth checking
You don’t have to read every page. Grab a cup of coffee and start with these.
1. Your monthly premium
Look for what you’ll pay each month next year compared to this year. Many ANOCs have a “Summary of Important Costs” table near the front that puts this year and next year side by side. That table is your friend.
One reminder: if you’re in a Medicare Advantage plan, you generally still pay your Part B premium too.
2. Deductibles, copays, and your out-of-pocket maximum
A premium that stays the same can still come with higher costs somewhere else. Check:
- Your deductible (medical and drug, if your plan has both)
- Copays for primary care visits, specialists, and hospital stays
- Your maximum out-of-pocket limit, which is the most you’d pay in a year for covered medical services in a Medicare Advantage plan
Think about how you actually use your care. If you see a specialist every month, a small bump in that copay can add up faster than a few dollars on the premium.
3. Whether your prescriptions are still covered
Plans update their drug list, called a formulary, every year. Pull out your prescription bottles (or your list) and check each one. Look for:
- Drugs that were dropped from the formulary
- Drugs moved to a different tier, which can change what you pay
- New rules like prior authorization or quantity limits
If the ANOC doesn’t give you enough detail, your plan’s full drug list for next year is available from the plan, usually on its website. You can also enter your drugs into the Medicare Plan Finder at Medicare.gov.
4. Whether your doctors are still in network
This is the one I’d double-check with a phone call. If your plan uses a network, doctors, hospitals, and pharmacies can come and go, and the ANOC may not tell you about your specific providers.
Call your doctors’ offices and ask, “Will you be in network with my plan next year?” Give them the exact plan name from your member ID card. Then look them up in the plan’s provider directory. And don’t forget your pharmacy.
What if something changed?
A change in your ANOC doesn’t automatically mean you need a different plan. Sometimes the change is small, or it doesn’t touch anything you actually use. Sometimes it’s a big deal. Either way, it’s a lot better to know now than to find out at the pharmacy counter in January.
And if the envelope already went out with the recycling? It happens. Call the member services number on your ID card or check your plan’s website. Most plans post the ANOC online.
What this means for you
Thirty pages of plan language is a lot to sort through alone at the kitchen table. If you’d like someone to look at it with you, or you’re helping a parent make sense of theirs, I’m happy to help. There’s no cost to you to talk with us. Agents like me are paid by the insurance companies, not by you.
Call or text us at 281-819-6619, or grab a time that works for you:
Bring the envelope. Unopened is fine. I won’t judge.
Caroline Worthen, Worthen Insurance Group, Friendswood, TX
Sources: Medicare & You handbook; Medicare Plan Finder; NCOA – What Is a Medicare Annual Notice of Change?. Enrollment period dates reflect current CMS rules; confirm annually.