Title: Fair Access to Insurance for Retired (FAIR) Heroes Act of 2017
Policy area: Armed Forces and National Security

Summary:
Fair Access to Insurance for Retired (FAIR) Heroes Act of 2017
This bill permits a veteran who is disability-retired for a condition or injury incurred during service in the U.S. Armed Forces to choose health care coverage through Medicare or TRICARE. (TRICARE is a Department of Defense managed health care program for uniformed service members, military retirees, and their dependents.)

[Congressional Bills 115th Congress]
[From the U.S. Government Publishing Office]
[S. 2117 Introduced in Senate (IS)]

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115th CONGRESS
  1st Session
                                S. 2117

 To amend title 10, United States Code, to expand eligibility for the 
TRICARE program to include certain veterans entitled to benefits under 
  the Medicare program due to conditions or injuries incurred during 
   service in the Armed Forces and to waive the Medicare part B late 
     enrollment penalty for such veterans, and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                            November 9, 2017

 Mr. Nelson (for himself and Mr. Blumenthal) introduced the following 
 bill; which was read twice and referred to the Committee on Veterans' 
                                Affairs

_______________________________________________________________________

                                 A BILL


 
 To amend title 10, United States Code, to expand eligibility for the 
TRICARE program to include certain veterans entitled to benefits under 
  the Medicare program due to conditions or injuries incurred during 
   service in the Armed Forces and to waive the Medicare part B late 
     enrollment penalty for such veterans, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Fair Access to Insurance for Retired 
(FAIR) Heroes Act of 2017''.

SEC. 2. ELIGIBILITY FOR TRICARE FOR VETERANS ENTITLED TO MEDICARE 
              BENEFITS DUE TO CONDITIONS OR INJURIES INCURRED DURING 
              SERVICE IN THE ARMED FORCES.

    (a) TRICARE Provisions.--
            (1) In general.--Paragraph (2) of section 1086(d) of title 
        10, United States Code, is amended--
                    (A) in subparagraph (A), by striking ``is 
                enrolled'' and inserting ``(i) is enrolled'';
                    (B) by redesignating subparagraph (B) as clause 
                (ii);
                    (C) in clause (ii), as redesignated by paragraph 
                (2), by striking the period at the end and inserting 
                ``; or''; and
                    (D) by inserting after subparagraph (A) the 
                following new subparagraph (B):
            ``(B) is a person described in subparagraph (A)(ii) who--
                    ``(i) is retired for disability under chapter 61 of 
                this title as a result of an injury or condition 
                suffered during service in the armed forces;
                    ``(ii)(I) is entitled to hospital insurance 
                benefits under part A of title XVIII of the Social 
                Security Act pursuant to subparagraph (A) or (C) of 
                section 226(b)(2) of such Act (42 U.S.C. 426(b)(2)) and 
                is entitled to a benefit described in subparagraph (A) 
                of such section; or
                    ``(II) is entitled to hospital insurance benefits 
                under part A of title XVIII of the Social Security Act 
                pursuant to subparagraph (A) or (C) of such section and 
                whose entitlement to a benefit described in 
                subparagraph (A) of such section terminated due to 
                performance of substantial gainful activity; and
                    ``(iii) has declined to enroll in the supplementary 
                medical insurance program under part B of title XVIII 
                of the Social Security Act (42 U.S.C. 1395j et 
                seq.).''.
            (2) Allowance of one change of enrollment.--Such section is 
        further amended by adding at the end the following new 
        paragraph:
    ``(6)(A) Except as provided in subparagraph (B), after the end of 
the special enrollment period provided under section 2(a)(3) of the 
Fair Access to Insurance for Retired (FAIR) Heroes Act of 2017, an 
individual described in paragraph (2)(B) may switch only once from 
enrollment under the Medicare program under title XVIII of the Social 
Security Act (42 U.S.C. 1395 et seq.) to enrollment in a plan 
contracted for under subsection (a).
    ``(B) The limitation under subparagraph (A) does not apply to 
enrollment by an individual in a plan contracted for under subsection 
(a) by reason of termination of the entitlement of the individual to a 
benefit described in subparagraph (A) of section 226(b)(2) of the 
Social Security Act (42 U.S.C. 426(b)(2)) due to the performance of 
substantial gainful activity.''.
            (3) Special enrollment period.--
                    (A) In general.--The Secretary of Defense shall 
                provide for a special enrollment period during which an 
                individual described in subsection (d)(2)(B) of section 
                1086 of title 10, United States Code, may enroll in a 
                health care plan under such section. Such period shall 
                begin as soon as possible after the date of the 
                enactment of this Act and shall end 12 months later.
                    (B) Coverage period.--In the case of an individual 
                who enrolls during the special enrollment period 
                provided under subparagraph (A), the coverage period 
                under section 1086 of title 10, United States Code, 
                shall begin on the first day of the month following the 
                month in which the individual enrolls.
            (4) Conforming amendments.--Section 1086(d) of title 10, 
        United States Code, is amended--
                    (A) in paragraph (4)(A), in the matter preceding 
                clause (i), by striking ``paragraph (2)(B)'' and 
                inserting ``paragraph (2)(A)(ii)''; and
                    (B) in paragraph (5)--
                            (i) by striking ``subparagraph (B)'' and 
                        inserting ``subparagraph (A)(ii)''; and
                            (ii) by striking ``subparagraph (A)'' and 
                        inserting ``subparagraph (A)(i)''.
    (b) Medicare Provisions.--
            (1) Waiver of medicare part b late enrollment penalty.--
                    (A) In general.--Section 1839(b) of the Social 
                Security Act (42 U.S.C. 1395r(b)) is amended by adding 
                at the end the following new sentences: ``No increase 
                in the premium shall be effected for a month in the 
                case of an individual who demonstrates to the Secretary 
                that the individual, with respect to such month, is an 
                individual described in section 1086(d)(2)(B) of title 
                10, United States Code. The Secretary of Health and 
                Human Services shall consult with the Secretary of 
                Defense in identifying individuals described in the 
                previous sentence.''.
                    (B) Effective date.--The amendment made by 
                subparagraph (A) shall apply to premiums for months 
                beginning after the date of the enactment of this Act. 
                The Secretary shall establish a method for providing 
                rebates of premium penalties paid for months after the 
                date of the enactment of this Act for which a penalty 
                does not apply under such amendment but for which a 
                penalty was previously collected.
            (2) Medicare part b special enrollment period.--
                    (A) In general.--In the case of any individual who, 
                as of the date of the enactment of this Act, is 
                eligible to enroll but is not enrolled under part B of 
                title XVIII of the Social Security Act and is an 
                individual described in section 1086(d)(2)(B) of title 
                10, United States Code, the Secretary of Health and 
                Human Services shall provide for a special enrollment 
                period during which the individual may enroll under 
                such part. Such period shall begin as soon as possible 
                after the date of the enactment of this Act and shall 
                end 12 months later.
                    (B) Coverage period.--In the case of an individual 
                who enrolls during the special enrollment period 
                provided under subparagraph (A), the coverage period 
                under part B of title XVIII of the Social Security Act 
                shall begin on the first day of the month following the 
                month in which the individual enrolls.
    (c) Notification and Information to Beneficiaries.--
            (1) Notification regarding insurance options.--The 
        Secretary of Defense shall coordinate with the Secretary of 
        Health and Human Services to identify individuals described in 
        section 1086(d)(2)(B) of title 10, United States Code, as added 
        by subsection (a), and notify those individuals about their 
        health insurance options under the TRICARE program, as defined 
        in section 1072 of such title, and the Medicare program under 
        title XVIII of the Social Security Act (42 U.S.C. 1395 et 
        seq.).
            (2) Provision of information to beneficiaries.--
                    (A) In general.--The Secretary of Defense shall 
                provide to individuals described in paragraph (1) 
                educational materials, information, and counseling 
                regarding the effects of not enrolling in the 
                supplementary medical insurance program under part B of 
                title XVIII of the Social Security Act (42 U.S.C. 1395j 
                et seq.), including information comparing premiums, 
                copayments, deductibles, provider networks, future 
                enrollment opportunities, and penalties for the various 
                health insurance plans available to assist those 
                individuals in making appropriate health insurance 
                choices.
                    (B) Timing.--The Secretary shall provide the 
                educational materials, information, and counseling 
                described in subparagraph (A) to an individual 
                described in paragraph (1) before the individual elects 
                to change enrollment between the TRICARE program, as 
                defined in section 1072 of title 10, United States 
                Code, and the Medicare program under title XVIII of the 
                Social Security Act (42 U.S.C. 1395 et seq.).
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