PUBLIC LAW 108–173—DEC. 8, 2003
117 STAT. 2161
(3) in subsection (b)— (A) in paragraph (1)(A), by inserting ‘‘, for transitional assistance under section 1860D–31(f), or for premium and cost-sharing subsidies for low-income individuals under section 1860D–14’’ after ‘‘1933’’; and (B) in paragraph (2), by inserting ‘‘, program, and subsidies’’ after ‘‘medical assistance’’. SEC. 104. MEDIGAP AMENDMENTS.
(a) RULES RELATING TO MEDIGAP POLICIES THAT PROVIDE PRESCRIPTION DRUG COVERAGE.— (1) IN GENERAL.—Section 1882 (42 U.S.C. 1395ss) is amended by adding at the end the following new subsection: ‘‘(v) RULES RELATING TO MEDIGAP POLICIES THAT PROVIDE PRESCRIPTION DRUG COVERAGE.— ‘‘(1) PROHIBITION ON SALE, ISSUANCE, AND RENEWAL OF NEW POLICIES THAT PROVIDE PRESCRIPTION DRUG COVERAGE.— ‘‘(A) IN GENERAL.—Notwithstanding any other provision of law, on or after January 1, 2006, a medigap Rx policy (as defined in paragraph (6)(A)) may not be sold, issued, or renewed under this section— ‘‘(i) to an individual who is a part D enrollee (as defined in paragraph (6)(B)); or ‘‘(ii) except as provided in subparagraph (B), to an individual who is not a part D enrollee. ‘‘(B) CONTINUATION PERMITTED FOR NON-PART D ENROLLEES.—Subparagraph (A)(ii) shall not apply to the renewal of a medigap Rx policy that was issued before January 1, 2006. ‘‘(C) CONSTRUCTION.—Nothing in this subsection shall be construed as preventing the offering on and after January 1, 2006, of ‘H’, ‘I’, and ‘J’ policies described in paragraph (2)(D)(i) if the benefit packages are modified in accordance with paragraph (2)(C). ‘‘(2) ELIMINATION OF DUPLICATIVE COVERAGE UPON PART D ENROLLMENT.— ‘‘(A) IN GENERAL.—In the case of an individual who is covered under a medigap Rx policy and enrolls under a part D plan— ‘‘(i) before the end of the initial part D enrollment period, the individual may— ‘‘(I) enroll in a medicare supplemental policy without prescription drug coverage under paragraph (3); or ‘‘(II) continue the policy in effect subject to the modification described in subparagraph (C)(i); or ‘‘(ii) after the end of such period, the individual may continue the policy in effect subject to such modification. ‘‘(B) NOTICE REQUIRED TO BE PROVIDED TO CURRENT POLICYHOLDERS WITH MEDIGAP RX POLICY.—No medicare supplemental policy of an issuer shall be deemed to meet the standards in subsection (c) unless the issuer provides written notice (in accordance with standards of the Secretary established in consultation with the National Association of Insurance Commissioners) during the 60-
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