November 30, 2016

2017 Medicare Supplement Benefit Mailing

Each year, the Centers for Medicare & Medicaid Services (CMS) releases new Medicare Part A and Part B deductible amounts. These amounts have been recently published by CMS, and we are sending letters to members with new deductible and benefit information. Note that Medicare Supplement rates are not yet available, and we will issue a separate mailing with that information when we receive it.

There may be questions from members about when the new rates will be communicated and when these changes will take effect.

You can refer to the following FAQs to help address questions from members.

Q: Is my Medicare Supplement deductible changing in January?
A: Yes. CMS has released new deductible amounts for Medicare Part A and Part B. Based on these new deductibles, Blue Cross and Blue Shield of Illinois (BCBSIL) will automatically adjust your coverage, beginning Jan. 1. 2017.

Q: Are my Medicare Supplement rates changing in January?
A: No. Rates are not changing for Medicare Supplement plans on Jan. 1, 2017. Deductibles and coinsurance for applicable plans will change as they do almost every year, effective Jan. 1, 2017. BCBSIL Medicare Supplement rates are tentatively scheduled to change effective April 1, 2017. Please watch for additional communications from BCBSIL in the coming months regarding rate changes.

Q: How will I find out if my rates are changing?
A: Once new rate information becomes available, BCBSIL will send you a letter. The letter will tell you about any rate changes to your plan.

Q: When will the new rates become effective?
A: The effective date for your new rate is determined based on the date your membership was effective, as well as any specific advanced notification requirements for your state.

Each state requires that advance written notification be sent to members advising of any rate changes before the new rates can take effect. Illinois requires 30-days advance notification for rate changes.

Q: What about Part D or Medicare Advantage?
A: The annual election period has begun for plan year 2017, and premiums for BCBSIL Medicare Part D and Medicare Advantage plans have been set. No mid-year changes will occur.