I did insert your sample records and ran the code, See attached. It works well.

If object_id('tempdb..#t') IS NOT NULL DROP TABLE #t;
CREATE TABLE #t( BeneficiaryID VARCHAR(10),...

Thanks for all the input. Managed to get it to work.
So this time, it considers the year.
Run the code and you will see that 78576109 does not get...

Mr Drew: Agreed! Thanks for validating.
I did modify the query ( Also added more test data, Added 2 more users )
BTW - I am looking for at...

Managed to find the solution a similar solution in "STACK OVER FLOW" and then had to modify it slightly. So it works .. Here you go 

if object_id('tempdb..#rx') IS NOT NULl DROP TABLE #rx
GO

create table #rx( MemN VARCHAR(15), ClaimNumber VARCHAR(20), RX_Number VARCHAR(20), Claim_Type CHAR(1) ) ;
INSERT INTO #rx(MemN,ClaimNumber,RX_Number,Claim_Type)...