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Example: Ms. Louis requests to disenroll from her current plan on April 11 for an effective date of May 1. Before the plan sends the disenrollment transaction to CMS, she changes her mind and requests to cancel the disenrollment on April 15. The plan does not submit the disenrollment transaction to CMS. A cancellation transaction is not necessary.

If the plan transmitted the enrollment/disenrollment transaction to CMS before it received the valid request for cancellation from the individual, it must submit a cancellation transaction to CMS to cancel the now-void enrollment/disenrollment transaction. In the event the cancellation transaction fails (i.e., rejects in MARx although the request to cancel is valid), plans must promptly submit the request to cancel the enrollment/disenrollment to the RPC.

Example: Mr. Brown enrolls in Plan A (a PDP) with an effective date of January 1. On July 16, Mr. Brown is eligible for an election period and submits an enrollment request to enroll in Plan B (an MA-PD) for an effective date of August 1. On July 20, he realizes his drug coverage will change and wants to keep the drug coverage he currently has in Plan A. He calls Plan B and requests that they cancel the enrollment request. Since Plan B has already submitted the enrollment transaction to CMS, Plan B will need to submit an enrollment cancellation transaction to CMS.

Example: Ms. Williams is enrolled in Plan A. On April 10, she requests to disenroll from Plan A. After Plan A submits the disenrollment transaction to CMS, she changes her mind on April 20. Plan A submits a disenrollment cancellation transaction and reinstates Ms. Williams into the plan.

A plan may cancel only those enrollment or disenrollment transactions it submitted to CMS. MARx accepts a cancellation only from the entity that submitted the enrollment/disenrollment transaction being cancelled. To cancel an enrollment, the plan must submit an enrollment cancellation transaction (TC 80) with an effective date equal to the effective date of the enrollment being cancelled. To cancel a disenrollment, the plan must submit a cancellation of disenrollment transaction (TC 81) with an effective date equal to the effective date of the disenrollment being cancelled.

CMS suggests plans processing the cancellation request notify individuals within 10 calendar days of receipt of the cancellation request. The notice includes: • Instruction to the individual to continue using the MA and/or Part D services offered by the plan in which they are currently enrolled; and • For enrollment cancellations, instruction for the individual to contact their previous plan to confirm enrollment if not automatically enrolled back into that plan.