- Failing to enroll in Medicare Part B when you should can lead to permanent late penalties and delayed coverage. If you have health insurance beyond age 65 from an employer for whom you or your spouse work and the employer has 20 or more workers you can delay Part B enrollment without penalty until the employment ends. Otherwise, you need to sign up for Part B when first eligible.
Being too late to buy a Medigap. If you buy a Medigap policy within six months of enrolling in Part B Medigap insurance companies CAN NOT deny you coverage or charge higher premiums based on your health status. Outside of the Open Enrollment period they can do both.- Not signing up for Part D because you don’t take any prescriptions. Failing to enroll in Part D when you should can lead to permanent late penalties and delayed coverage. To avoid both you should select a Prescription plan with the lowest premium.
- Choosing a Medicare or Prescription plan based on someone else’s selection. The best way to choose a Medical and Prescription Drug plan is based on your specific drug and medical usage. Spouses often have different health insurance needs.
Not making use of extra help that may be available to lower your costs. If your income is limited check out two programs that can reduce costs if you qualify. Under a Medicare Savings Program your state pays the Part B premium and under the federal Extra Help program you get low-cost Prescription Drug Coverage. PACE and PACENET programs are also available to reduce prescription expenses.- Enrolling in premium free Medicare Part A when you are covered by a group health plan with 20 or more employees. If the employer plan is a high deductible health plan with a Health Savings Account (HSA) then you will be ineligible to participate in the HSA account.
Failure to distinguish the different enrollment opportunities for the various plan types. Medicare Advantage and stand-alone Prescription Drug plans have an Annual Election Period from 10/15 through 12/7 which allows you to switch plans annually. Medigap plans Open Enrollment is the one time, six month period when you are 65 or over and new to Medicare Part B. Thereafter the Medigap insurance companies can refuse coverage based on medical underwriting.