You Must Be Enrolled in Medicare Part B

Under Alcatel-Lucent Plan provisions, Medicare-eligible participants must be entitled to Medicare Part A and enrolled in Medicare Part B to receive benefits coverage through the Plan. When you are enrolled in Medicare Part B, you will pay a monthly premium cost for coverage and may also be required to pay a premium cost for the Alcatel-Lucent retiree healthcare coverage that you choose.

Medicare Part B offers medical benefits, such as doctor and ambulance services. You may become automatically enrolled in Medicare Part B if you receive Social Security benefits. Check with Medicare for information about your personal situation.

Medicare Part C Medical Options — What You Should Know

• Medicare Advantage Preferred Provider Organization (PPO) plans (like the UnitedHealthcare Group Medicare Advantage [PPO]) and Medicare HMOs are “Medicare Part C” options. By enrolling in one of these medical options, you agree to receive standard Medicare Part A and Medicare Part B services through that medical option.
• If you enroll (or continue coverage) in a Medicare HMO offered by the Plan, you will receive prescription drug coverage directly through that Medicare HMO. Plan designs vary. You must go to hospitals and doctors in the Medicare HMO’s network to receive coverage.
• Shortly after enrolling in a Medicare HMO through the YBR website or the Alcatel-Lucent Benefits Center, you may receive form(s) in the mail from the Alcatel-Lucent Benefits Center. Complete the form(s) with your personal information, Medicare information and signature, and return them to the Alcatel-Lucent Benefits Center by the deadline stated on the form(s) to avoid any delays in receiving coverage.
• Other Medicare HMO and Medicare Part C options may be available to you from other private insurers. You cannot be enrolled in more than one Medicare Part C plan option at the same time. Enrolling in a private insurer’s Part C plan does not automatically cancel any Alcatel-Lucent coverages you may have defaulted to or enrolled in during the annual open enrollment period. To enroll in a private insurer’s Part C plan outside of the Company-sponsored Plan during the year, you must call the Alcatel-Lucent Benefits Center to disenroll from your Alcatel-Lucent medical and prescription drug coverage.
• Medicare HMO premium costs will be final in December. Because the Medicare HMOs require approval by CMS, the final plan designs and premium costs will not be available to the Alcatel-Lucent Benefits Center during the annual open enrollment period. It is expected that the Alcatel-Lucent Benefits Center will have the final plan designs and premium costs in December. If you decide to enroll in a Medicare HMO during Alcatel-Lucent’s annual open enrollment period, and the premium cost is later reduced, you will receive written notification. The premium cost will not be higher than what is shown on the YBR website during the annual open enrollment period.

Medicare Part D Plans May Be Available to You

If you enroll in a Medicare Part D prescription drug plan outside of the Alcatel-Lucent Plan, then you are making the choice to opt out of the Alcatel-Lucent Plan’s prescription drug coverage. This means that all of the following apply:

• Your Alcatel-Lucent prescription drug coverage will no longer pay any portion of your prescription medications — even if the Medicare Part D coverage does not pay for a claim.
• You and/or your dependent(s) will need to begin paying premium costs to the new Medicare Part D provider for Medicare Part D coverage;
• Your premium costs, if any, for coverage under the Alcatel-Lucent Plan will not be adjusted. Alcatel-Lucent cannot provide varying contribution structures, so you will continue to pay the same premium costs as someone who still has prescription drug coverage under the Alcatel-Lucent Plan.
• Alcatel-Lucent prescription drug coverage will continue to cover:
  • Any dependent(s) not eligible for Medicare who are enrolled in the Alcatel-Lucent Plan; and
  • Any Medicare-eligible dependent(s) who have not enrolled in another Medicare Part D plan.