Every fall, Medicare beneficiaries enrolled in a Medicare Advantage (Part C) or Medicare Part D prescription drug plan receive an important piece of mail: the Annual Notice of Change (ANOC). While it might be tempting to toss it aside with the junk mail, this document deserves your full attention.
The Annual Election Period (AEP), which runs from October 15 through December 7, is just around the corner. That’s the only time of year when most people can make changes to their Medicare Advantage or Part D coverage. Your ANOC is your first clue as to whether you should make a change.
What Is the Annual Notice of Change (ANOC)?
The Annual Notice of Change (ANOC) is a document that Medicare Advantage and Medicare Part D plans are required to send to their members each fall. You should receive it by September 30 at the latest.
This notice outlines all the changes your plan will make for the upcoming calendar year, starting January 1. These changes may affect your:
- Monthly premium
- Deductibles, copayments, and coinsurance
- Drug formulary (the list of covered medications)
- Pharmacy or provider network
- Extra benefits, such as dental, vision, hearing, or gym memberships
Even if your plan’s name and branding stay the same, the benefits and costs can change. That’s why reading the ANOC carefully is essential.
Why the ANOC Matters
Many people assume that if they’re happy with their Medicare Advantage or Part D plan this year, they don’t need to look at anything. But plans can and do change (sometimes significantly!) from year to year.
Here are a few examples of changes that might appear in your ANOC:
- Your premium is increasing
- Your deductible is going up
- One of your medications is moving to a higher tier (more expensive copay)
- Your preferred doctor is no longer in-network
- Your plan is dropping a key benefit, like dental or transportation
If you don’t review the ANOC, you might be caught off guard in January and face higher out-of-pocket costs or limited access to care. The ANOC gives you time to compare your options and make a change during the Annual Election Period, if needed.
What to Do When You Receive Your ANOC
When your ANOC arrives, here’s what you should do:
1. Open It Immediately
It’s easy to mistake the ANOC for marketing mail, but it’s not. Look for a packet or letter from your current insurance company with a subject line like “Important Plan Information for Next Year.”
2. Review the Changes Carefully
Your ANOC should include a side-by-side comparison of your current benefits and the changes for the next year. Pay close attention to:
- Changes in monthly premium
- New or increased deductibles or copayments
- Changes to your prescription drug coverage, including which drugs are covered, their tiers, and any prior authorization requirements
- Any updates to the provider network
- Changes to extra benefits
3. Compare the Plan to Your Current Needs
Ask yourself:
- Are my doctors still in-network?
- Are all my medications still covered at a reasonable cost?
- Is this plan still affordable for my budget?
- Am I still getting the benefits that matter to me?
If anything has changed that could affect your care or your wallet, it’s worth taking a closer look.
4. Reach Out if You Have Questions
If anything in the ANOC is confusing, don’t hesitate to call your insurance company or reach out to a trusted Medicare advisor like Carolina Senior Benefits. We can help you understand what’s changing and what your alternatives are.
Should You Switch Plans?
The ANOC gives you the information you need to decide whether to stay with your current plan or shop around. If your coverage no longer meets your needs—or you simply want to see if there’s something better available—you can use the Annual Election Period to make a switch.
Here’s what you can do during the AEP:
- Switch from one Medicare Advantage plan to another
- Drop Medicare Advantage and return to Original Medicare, with or without a Part D drug plan
- Enroll in a new Part D prescription drug plan
- Drop your current Part D plan if you no longer need drug coverage
Any changes you make during the AEP take effect on January 1.
How to Compare Your Plan Options
If your ANOC reveals significant changes (or even if it doesn’t) it’s wise to compare plans during the Annual Election Period. Here’s how to do that effectively:
1. Make a List of Your Priorities
Before you start comparing, write down what matters most to you:
- Your current prescriptions
- Your preferred doctors and hospitals
- Desired benefits (like dental, vision, or transportation)
- Your monthly budget
2. Use Medicare’s Online Plan Finder
Medicare.gov has a free tool that allows you to enter your medications and zip code to compare Part D and Medicare Advantage plans in your area.
3. Work with a Licensed Independent Broker
A local Medicare brokerage like Carolina Senior Benefits can simplify the process. We’ll help you review your ANOC, compare your options, and enroll in a plan that meets your needs—at no extra cost to you.
4. Don’t Procrastinate
The AEP ends on December 7, and it’s much easier to make a change in October or early November than to scramble at the last minute.
Stay Informed, Stay Covered
The Annual Notice of Change may not be the most exciting mail you receive, but it’s one of the most important. By taking a few minutes to read and understand your ANOC, you can avoid unexpected costs and make sure your Medicare plan continues to serve you well.
If you need help reviewing your ANOC or comparing plans during the Annual Election Period, Carolina Senior Benefits is here for you. We’ll walk you through your options and help you make a confident, informed choice for the year ahead.
Have questions about your ANOC or Medicare plan? Contact us today to schedule a free Medicare review. We’re happy to help!
