Sec. 2. Application of part B deemed enrollment process to residents of Puerto Rico; special enrollment period and limit on late enrollment penalties
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Section 1837(f)(3) of the Social Security Act ( 42 U.S.C. 1395p(f)(3) ) is amended by striking , exclusive of Puerto Rico . The amendment made by subsection
(a)shall apply to individuals whose initial enrollment period under section 1837(d) of the Social Security Act begins on or after the first day of the effective month, specified by the Secretary of Health and Human Services under section 1839(j)(1)(C) of such Act, as added by subsection (c)(2). Section 1839 of the Social Security Act ( 42 U.S.C. 1395r ) is amended— in the first sentence of subsection (b), by inserting subject to section 1839(j)(2), after subsection (i)(4) or
(l)of section 1837, ; and by adding at the end the following new subsection: In the case of a transition individual (as defined in paragraph (3)) who is not enrolled under this part as of the day before the first day of the effective month (as defined in subparagraph (C)), the Secretary shall provide for a special enrollment period under section 1837 of 7 months beginning with such effective month during which the individual may be enrolled under this part. In the case of such an individual who enrolls during such special enrollment period, the coverage period under section 1838 shall begin on the first day of the second month after the month in which the individual enrolls. In this section, the term effective month means a month, not earlier than October 2014 and not later than January 2015, specified by the Secretary. In the case of a transition individual who is enrolled under this part as of the day before the first day of the effective month or who enrolls under this part on or after the date of the enactment of this subsection but before the end of the special enrollment period under paragraph (1)(A), the amount of the late enrollment penalty imposed under section 1839(b) shall be recalculated by reducing the penalty to 15 percent of the penalty otherwise established. Subparagraph
(A)shall be applied in the case of a transition individual who— is enrolled under this part as of the month before the effective month, for premiums for months beginning with such effective month; or enrolls under this part on or after the date of the enactment of this Act and before the end of the special enrollment period under paragraph (1)(A), for premiums for months during the coverage period under this part which occur during or after the effective month. Subparagraph
(A)shall not apply to a transition individual if the individual terminates enrollment under this part after the end of the special enrollment period under paragraph (1). In this section, the term transition individual means an individual who resides in Puerto Rico and who would have been deemed enrolled under this part pursuant to section 1837(f) before the first day of the effective month but for the fact that the individual was a resident of Puerto Rico, regardless of whether the individual is enrolled under this part as of such first day. .
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Sec. 2
Application of part B deemed enrollment process to residents of Puerto Rico; special enrollment period and limit on late enrollment penalties
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