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Tips from the Centers for Medicare and Medicaid (CMS)
The following documents are available for download as a service to you. These documents are provided by the Centers for Medicare and Medicaid (CMS)
Premium Withhold Refund Issue
Please note: If you received a reimbursement of your Medicare Part D premiums and then a letter from the government explaining the mistake and asking that you return the money - you may want to explore your options before returning the reimbursement. The repayment issue is not resolved and you may actually be entitled to keep the refund. For further information, please contact CMS (1-866-292-8080) and ask about your rights and obligations with respect to repaying the erroneous refund. (This topic was highlighted in our September 2006 newsletter.)
In early August, due to a Medicare processing error, roughly 230,000 people received refunds for their drug plan or Medicare Advantage plan premiums in their August 2006 Social Security benefit checks or direct deposits.
People whose plan premiums were mistakenly refunded will not loose any of their Medicare coverage. However, Medicare needs to re-collect the money that was refunded in error.
The document below details the steps that should be taken. It includes the appropriate Medicare telephone numbers and mailing addresses.
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:: Download the instructions for the "Premium Withhold Refund Issue"
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As noted on the CMS website:
Date 08/28/2006
Subject CMS Takes Steps to Correct Erroneous Plan Premium Refunds
As a follow-up to our notification from last week regarding the erroneous plan premium refunds, the Centers for Medicare & Medicaid Services (CMS) is sending a letter to the approximately 230,000 people who mistakenly received refunds for their drug plan or Medicare Advantage plan premiums in their August 2006 Social Security benefit payments either via checks or direct deposits. This letter explains the error and provides beneficiaries with options for returning the overpayment. In addition, CMS has issued a Partner Tip Sheet (available through the link below) that also explains the steps that people can take right now to help correct this situation.
In brief, CMS will provide a range of options for assuring that the refunds go to the intended purpose of paying beneficiary premiums while minimizing inconvenience for beneficiaries. Beneficiaries will have the option to return the premium payments by returning the voided check, sending a personal check, or authorizing an electronic debit from their account. We intend to continue to do all we can to ensure that beneficiaries' Social Security payments reflect accurate premium adjustments.
Please keep in mind that the Social Security withholding is working smoothly for the vast majority of the 4.7 million beneficiaries who are using the premium payment option and the people who had their plan premiums mistakenly refunded will not lose any of their Medicare coverage.
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Last updated on: 07/18/2008
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