When people reach the age of 65, they are eligible for Medicare Part A & B. Whether or not they are receiving retirement benefits. when you enter your Initial Enrollment Period will affect the actions you take to enroll in Medicare (IEP).
- You should be automatically enrolled in both Medicare Part A &B if you receive Social Security retirement payments or Railroad Retirement benefits.
- You must actively enroll in Medicare if you are not receiving Social Security retirement benefits or Railroad Retirement benefits.
You shouldn’t need to contact anyone upon eligibility. If you are eligible for automatic enrollment, three months prior to when your coverage would begin. You would receive a package in the mail including your new Medicare card and a letter. Describe how Medicare works, and that you were automatically enrolled in both Parts A and B.
If you receive Social Security retirement payments, the Social Security Administration will send you a gift and a card (SSA). If you are eligible for Railroad Retirement benefits, the Railroad Retirement Board will send you a package and a card.
Unless you or your spouse have insurance based on your or your spouse’s present work, you should not decline Part B. (job-based insurance). If you do not have employer-sponsored insurance and decline Part B, you may face a premium penalty if you need to enroll in Medicare in the future. Also, if your job-based insurance would pay secondary once you reach Medicare eligibility, you should enroll in Medicare to get main coverage and pay less for your care.
If you are 65 years old and do not get Social Security or Railroad Retirement benefits, you must actively enroll in Medicare.
Signing up for Medicare
If you need to enroll in Medicare, follow these simple instructions below. If you elect to join up for Medicare Parts A and/or B during your Initial Enrollment Period, you can do so by:
- Visiting a Social Security office in your area
- Calling the Social Security Administration at 800-772-1213
- Sending a signed and dated letter to Social Security with your name, Social Security number, and the date you want to enroll in Medicare.
- Alternatively, you can apply online at www.ssa.gov
- When you enroll or apply for Medicare, it is important that you save everything. If you are doing this online, we recommend you print pages and make notes just as a failsafe. * See more below on what and how to keep records.
Enroll in Medicare if you are qualified for Railroad Retirement benefits by contacting the Railroad Retirement Board (RRB) or your local RRB field office.
To avoid paying a Part B premium penalty if your application is misplaced, save records of when you sought to enroll in Medicare.
- Take down the names and contact information for any representatives you communicate with, as well as the time and date of the conversation.
- Use certified mail and request a return receipt if you enroll via mail.
- Request a written receipt if you enroll at your local Social Security office.
- Print and save your confirmation page if you apply online.
During Special Enrollment Period (SEP)
This SEP is only eligible if you or your spouse have health insurance from a company for which you or your spouse actively works (after the conclusion of your IEP). It permits you to put off enrolling in Part B (and paying the monthly premiums) until your job or coverage ends, whichever comes first.
The SEP covers you for the duration of your current job’s coverage and for up to eight months after it finishes. If you sign up for Medicare at any point during this period, your coverage will begin on the first day of the next month, and you will not be charged late fees – regardless of how old you are when you sign up.
Be aware that if an IEP and a SEP overlap, the IEP always takes precedence. If your IEP expires on August 31 and you retire on the same day, you won’t be eligible for a SEP. As a result, if you wait until after August 31 to enroll, you won’t be able to sign up until the following general enrollment period (January 1 to March 31), and your coverage won’t start until July 1 – leaving you without coverage for almost a year.
Even if you joined up during the last few months of your IEP, your coverage would be two or three months behind schedule. To continue with this scenario, if you retired on September 1, you could join in August and start receiving Medicare benefits on September 1 without losing coverage, thanks to the SEP’s regulations.
If your employer-provided prescription drug coverage ends, you can enroll in a Medicare Part D medication plan. If you join within two months of losing your employer’s coverage, you will not be charged late fees.
Different requirements apply in two other Medicare enrollment scenarios.
If you are not in the United States and are traveling abroad for a significant amount of time, you should:
If you live outside of the United States and neither you nor your spouse works, you are faced with a difficult choice. You have two options: sign up for Part B and pay the monthly payments, even if you won’t be able to use Medicare services while abroad, or wait until you return to the United States and risk incurring permanent late fines and delayed coverage.
However, if you or your spouse is employed and has employer-provided health insurance or is covered by the country’s public national health system, you have the option of deferring Medicare enrollment until your employment expires. After then, you’ll be eligible for the identical SEP described earlier in this section.
Another exception is if you are not fully insured. That is if you are not entitled to Part A benefits without paying premiums for them. You will be unable to enroll in either Part A or Part B while abroad. Within three months of returning to the United States, you can enroll to live permanently in the country. In this case, coverage begins the first day of the month after you enroll. You are not subject to late fees. regardless of your age or length of stay abroad.
Otherwise, you can apply for Medicare while living outside of the United States by contacting your local US embassy or consulate. The State Department maintains an online directory with contact information for US diplomatic missions across the world.
Different rules apply to Part D drug coverage. You have a unique enrollment period of up to three months. (if you turned 65 overseas) or up to two months (if you turned 65 before leaving the United States). When you return to reside permanently in the United States sign up for a Part D prescription plan without facing late fines. After you enroll, coverage begins on the first day of the month.
If You Are In Prison:
If you are in prison and turning 65, or in another type of correctional facility. You have two options: enroll in Part B during your IEP and pay monthly premiums. Even if you will not be able to use it. Medicare services while incarcerated — or wait until you’re released and face permanent late penalties of coverage that are delayed.
Similarly, if you are incarcerated after the age of 65 and have already enrolled in Medicare. You must continue to pay payments in order to avoid penalties when you are released.
Different rules apply to Part D drug coverage. You have a special enrollment period of up to three months. (if you became 65 while in prison) or two months (if you turned 65 before going to prison). After your release enroll in a Part D medication plan and avoid late fees. After you enroll, coverage begins on the first day of the month.
Are you required to sign up for Medicare at age 65?
Not everyone needs to join Medicare when they turn 65, but records show most people do. If you are an employee you do not need to enroll in Medicare Part B. You have creditable coverage (usually, this means your employer employs 20 or more people). If your spouse works for a company that offers creditable coverage. You’re on his or her plan, you’re in the same boat.
Some people make the mistake of expecting that their retiree health plan will cover them completely. If you or your spouse has a retiree plan, those plans usually become secondary after you turn 65. That implies that if you don’t sign up for Medicare. (which becomes your primary plan), your secondary coverage will be ineffective.
Employer-sponsored plans with less than 20 employees are considering supplementary coverage. If you’re unsure, contact your plan’s provider and inquire.
Another common blunder is presuming that you don’t need to enroll in Medicare if you have COBRA coverage. This is not correct. Even if it offers the same coverage benefits you had when you worked, it’s never creditable.
A Late Enrollment Penalty is only provided if you do not enroll during your IEP or have creditable coverage.
What happens if you don’t sign up for Medicare at 65?
Two things can happen if you don’t sign up for Medicare when you should and don’t have creditable coverage. First, you’ll start accruing a 10% penalty on your Part B premium each year. that penalty will never go away. The second point to consider is that you might not be able to sign up when you desire.
Let’s imagine your birthday is in February and you wait until June to sign up. You would have missed your deadline by three months. You’ll have to wait until the general election season, which runs from January through March of the following year. Furthermore, the coverage will not begin until July 1 of the following year. As a result, even if you miss your enrollment deadline by just one month. You’ll have to wait almost a year to acquire coverage. Best to be on time.