How should Mr. Chen proceed after losing his employer group coverage?

After losing employer group coverage, Mr. Chen should promptly enroll in a Part D plan to avoid any late enrollment penalties. Medicare Part D, which provides prescription drug coverage, has specific rules regarding enrollment windows. If an individual does not enroll in a Part D plan when first eligible and later enrolls during a different period, they may face penalties that could increase their monthly premium for the duration of their enrollment.

When someone loses their employer group health insurance, it is considered a qualifying event that usually opens a Special Enrollment Period. During this time, Mr. Chen has the opportunity to enroll in a Part D plan without facing penalties. It’s crucial to take action during this window to ensure continuous coverage for necessary medications and to avoid incurring additional costs later on.

Staying on current employer coverage is not a viable or advisable option as Mr. Chen already lost it. Waiting until a future enrollment period would potentially expose him to penalties for being without coverage. While switching to a Medicare Advantage (MA) plan could be an option, it is not the most immediate concern regarding coverage for prescriptions, which is why prompt enrollment in a Part D plan is the most appropriate action.