The department also announced Medicare's annual open enrollment, the time period during which people can choose to change plans or shift from Medicare Advantage to Traditional Medicare, will begin earlier (on Oct. 15) and will last until Dec. 7, giving beneficiaries additional time to review and make changes to their plans.

The Dec. 7 deadline, however, is earlier than the usual Dec. 31.

"Medicare open enrollment is coming early this year, and as people with Medicare make their health and prescription drug coverage choices, they will see that we've strengthened consumer protections and improved plan choices," said CMS Administrator Donald Berwick, M.D. "Due to the Affordable Care Act, Medicare Advantage and prescription drug benefits are stronger than ever, and beneficiaries will continue to have access to a range of affordable products."

Beneficiaries should expect to receive their 2012 "Medicare & You" handbook as well as a notice from their current plan that describes any changes from 2011 to 2012 by late September.

CMS is also offering another first for Medicare Advantage plans: financial rewards to plans with high quality scores under a five-star rating methodology.

CMS is also allowing Five-Star Medicare Advantage and Part D plans to continuously market and enroll beneficiaries throughout the year, as an extra incentive for high quality performance.

"Plans that do a better job serving the needs of their Medicare members should be rewarded and all plans should be encouraged to improve their performance," said Jonathan Blum, CMS deputy administrator and director of the Center for Medicare.

CMS says it will work with beneficiary advocates, State Health Insurance Assistance Programs and beneficiaries to ensure that "people are well equipped to make decisions about health coverage that will best meet their needs in 2012."

Only 1 percent of Medicare beneficiaries are enrolled in plans that will not be available next year, and those enrollees will receive a notice of non-renewal from their plan in the next few weeks. Beneficiaries currently enrolled in a Medicare Advantage plan will revert to Original Medicare if they do not choose a plan on their own; however everyone will need to enroll in a Part D plan to keep their drug coverage.

Beneficiaries eligible for the Part D low-income subsidy will be enrolled in a zero-premium drug plan by CMS and will have the option to select a different Medicare plan throughout the year.

Starting Oct. 1, users of the Medicare Plan Finder, available at www.Medicare.gov, will be able to compare plans' quality summary rating from the previous year, identify which drugs may or may not be on a plan's formulary or be restricted, and compare the cost ranges for plans available in their community. Information on 2012 plans will be available online starting Oct. 1, and on October 12^, will include the plans' Five-Star quality rating.