Can I delay the registration of Medicare Part D? Pt 2

SEPs are related to particular events, for example, leaving a health policy offered by your union or employer, switching to the service area of a new policy, or qualifying for Medicaid paying for your Part D premium of Medicare.

As mentioned above, if you do not sign up for a Medicare policy option that includes prescription drug coverage when you apply for the first time, in most cases you will have to pay a late enrollment fee with your monthly policy premium.   Generally, you pay this penalty if you choose Medicare drug coverage. The penalty is imposed as long as you have this type of coverage.  What is the penalty for lateness if I do not register for Medicare Part D during my first enrollment period?

If you currently feel well and do not take any prescribed medication on a daily basis, you may be tempted to delay your Medicare Part D registration. However, this decision can cost you money if you need prescription drugs in the future. In some situations, prescription drugs can cost thousands of dollars a year for common medical conditions, such as heart disease, diabetes, or high blood pressure. Quotes are at for 2020 supplement plans.

In addition, the late registration fee is not a one-time fee. This is a penalty that applies to your monthly premium as long as you have coverage for Medicare prescription drugs. It is calculated as follows: Medicare multiplies 1% of “national base premium” (i.e. $ 35.02 in 2018) with the number of months that the Medicare Part D has delayed your enrollment for Medicare part D or you have Policy from another plan (for example , an employer)

Formidable prescription drug coverage is a coverage that, on average, should pay as much as standard prescription drug Medical insurance.

E.g. if the initial Medicare filing period ended on July 31st, 2014 and you waited until October 2018 to register for Part D, you would be out of coverage for 50 full months. You late enrollment fee on a monthly basis is $ 17.50, 1% of $ 35.02, which is the common premium multiplied by 50, and approximated to the closest 10 cent) that you would pay in addition to your monthly policy premium. That means you must pay a minimum of $ 210 more for Medicare coverage each year in this example case.

How can I avoid the late enrollment penalty in Medicare Part D?

There are 3 ways to avoid the late enrollment penalty:

Enroll in Medicare Part D for prescription drugs during your initial Medicare enrollment period or an optional qualifying period (if applicable).  Be sure not to spend more than 63 consecutive days without adequate coverage for prescription medications.  Register for creditable prescription drug coverage through another source, such as your current or former employer, your union, TRICARE, the Veterans Department, or the Indian Health Service (this is by no means an exhaustive list).  If you have any questions about planning your enrollment in Medicare Part D, you can easily find the answers.