Medicare, avoid the penalties!

Are you as sick as I am of all the TV ads for Medicare? Up until last Tuesday, we were mostly bombarded with election-related ads; from now until December 7th it’ll be Medicare. That’s because the annual Medicare enrollment period this year is from October 15 to December 7.  After that it will probably be Christmas shopping ads. But for now, let’s talk about Medicare because if you don’t get it right, it can cause you a lifetime of penalties!

I don’t know about you, but I don’t remember ever hearing about a penalty in one of those Medicare ads. But they’re real; trust me, I know from personal experience which I’m embarrassed to admit. I should know better having written this All about Seniors column for the last sixteen years! But, at the time I became eligible, there was so much going on in our lives that I missed it and now I must pay a monthly penalty for the rest of my life!  Which is why I’m writing this column this morning: to help keep you from making the same mistake. 

To keep me from making any mistakes on guidance for the rest of this discussion I’m going to quote as much as possible from the Medicare.gov website. So, here we go:

When can I sign up for Medicare? 

Most people sign up for both Part A (Hospital Insurance) and Part B (Medical Insurance) when they’re first eligible (usually when they turn 65). Generally, there are risks to signing up later, like a gap in your coverage or having to pay a penalty.  

When does Medicare coverage start? 

Medicare coverage starts based on when you sign up and which sign-up period you’re in. Your first chance to sign up is called your “Initial Enrollment Period”. This is generally, when you turn 65. It lasts for 7 months, starting 3 months before you turn 65, and ending 3 months after the month you turn 65.

What about the penalty?
If you miss your 7-month Initial Enrollment Period, you may have to wait to sign up and pay a monthly late enrollment penalty for as long as you have Part B coverage. The penalty goes up the longer you wait. You may also have to pay a penalty if you have to pay a Part A premium, also called “Premium-Part A.”

Late enrollment penalties:

• Are added to your monthly premium.
• Are not a one-time late fee.
• Are usually charged for as long as you have that type of coverage (for most people, that’s a lifetime penalty). The Part A penalty is different.
• Go up the longer you wait to sign up – they’re based on how long you go without coverage similar to Medicare. 

As I said, the above info is directly from the Medicare.gov website. My advice to anyone about to approach 65 years old, and hence, Medicare eligibility, is to seek an advisor that you can speak to in person. In the interest of full disclosure, I’ve never responded to a Medicare TV ad so I can’t say anything good or bad about how you might be treated in one of those phone or online conversations.

But I can say that for the last several years we’ve used a personal advisor that we speak to face to face and she has done a good job for us by seeking out the best plan for us based on our ages, Rx’s we use and our location (Plan availabilities vary by county!)

So, if you, or a senior in your circle of life is about to turn 65, welcome to the club; Medicare has wonderful benefits but enrolling can be cumbersome, especially if you’re enrolling for the first time.

By the way, speaking of welcome to the “Club”, make sure your plan includes a “Silver Sneakers” membership to a health club or gym; there’s nothing like regular exercise to keep us seniors healthy!  

Thanks for reading All About Seniors… see you next week!

Bill Milby is a Director of Visiting Angels® of Central Georgia, a non-medical, living assistance service for seniors. If you have questions or comments about this column you can reach him at william.mercylink@gmail.com or search for us at  https://www.facebook.com/VisitingAngelsofCentralGA