When does the Special Election Period (SEP) begin for DNSP members who lose their Medicaid eligibility?

The Special Election Period (SEP) for individuals who lose their Medicaid eligibility begins in the month they are notified of the loss. This is designed to provide immediate flexibility to beneficiaries who may need to transition to alternative coverage without the delays typically associated with standard enrollment periods. By allowing the SEP to start upon notification, it ensures that these individuals can access necessary healthcare services swiftly and without gaps in coverage.

This understanding is crucial as it emphasizes the urgency in maintaining continuous healthcare access for some of the most vulnerable populations. Knowing when the SEP kicks in allows affected members to act immediately rather than waiting for the following month or the next enrollment period, which can leave them without coverage during a critical time.

Other options suggest different start points for the SEP, such as after loss notification or conditioned by the application for a new plan, which do not align with the rules governing SEPs for this specific scenario. These alternate suggestions would not provide the necessary immediate response that this situation requires, thus underscoring why the correct answer highlights the importance of immediate action upon loss notification.