1. If enrollees in a Part D plan do not pay their plan premiums, would they be required to pay a penalty if they are involuntarily disenrolled by the plan and subsequently want to re-enroll?

Yes. Beneficiaries who do not pay their monthly premiums can be disenrolled by the Part D plan, provided the plan can demonstrate that it has made “reasonable” efforts to collect the premium(s) and that the plan has notified beneficiaries of their disenrollment.  Furthermore, if no appropriate enrollment period exists for a disenrolled beneficiary, s/he must wait until the next applicable enrollment period to re-enroll in a Part D plan.  At that point, if the beneficiary has been without creditable coverage for more than 63 days, s/he must pay the penalty premium associated with his or her lack of coverage. 

Reference Information

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