- You can keep this coverage as long as it is still offered by your employer or union.
- You won’t have to pay a late enrollment penalty if your employer or union stops offering prescription drug coverage as long as you join a Medicare drug plan within 63 days after the coverage ends.
Note: You should keep any materials your employer or union sends you that tell you your prescription drug coverage is creditable. You may need to provide it to your Medicare drug plan as proof of creditable prescription drug coverage if you decide to join a Medicare drug plan later.
Your (or your spouse’s) employer or union tells you that your current coverage ISN’T creditable prescription drug coverage. If you want to join a Medicare drug plan, you must join when you are first eligible to avoid a late enrollment penalty.
Caution: If you drop your employer or union coverage, you may not be able to get it back. You also may not be able to drop your employer or union drug coverage without also dropping your employer or union health coverage. If you drop coverage for yourself, you may also have to drop coverage for your spouse and dependents.
Find out about your options from your benefits administrator. You may be able to do one of the following:
- Keep your current employer or union drug coverage and join a Medicare drug plan to give you more complete prescription drug coverage.
- Keep only your current employer or union drug coverage. If you join a Medicare drug plan later, you may have to pay a late enrollment penalty.
- Drop your current coverage and join a Medicare Prescription Drug Plan, or join a Medicare Health Plan that covers prescription drugs
