What happens if I delay Medicare Part A enrollment because I'm still on my spouse's employer plan?
Answered by 13 licensed agents
Simple answer is nothing! Although I do suggest signing up for Part A and just delaying Part B, that way you are in the system and when Part B does need to be activated you have a fast turn around time!
Medicare Part A is free to us if you meet the number of paid-in working units required by the Medicare statutes, over the course of your career. Suppose you are under a Medicare-qualified employee group plan at turning 65. In that case, you do not need to take out anything else, and all penalties will be waived until you leave the employee group plan sometime in the future. The Medicare Part A insurance will be utilized with your group insurance for your claims. However, if the Medicare employee group plan does not include prescription drugs, taking on a Medicare Part D prescription drug plan may be necessary to avoid penalties. Your plan needs to be evaluated by a licensed Medicare insurance agent that you trust to ensure the accuracy of your decision.
Nothing. As long as you are covered by your spouse's plan, enrolling in Medicare is optional. You may voluntarily enroll in Part A. It's free as long as you or your spouse has worked 10 years (40 quarters) and has been paying into Medicare.
No, you are confused. Since Part A is totally Free, if you or your wife pitched in and contributed toward Social Security for at least 10 years, you do pick up Part A but decline Part B as THAT is the part with a monthly payment. Once your wife retires, both of you need to get both Parts A and B, about 3 months before her separation from the employer plan.
Nothing. PA There are no penalties for delaying Part A or B and long as you remain on your spouse's employer plan and the company has over 20 employees. However, you have the option of evaluating to see if if makes financial sense to stay on her employer plan or explore Medicare plan options.
Enrollment in Medicare Part A is automatic and there is usually no cost to you. Maybe your are thinking about Medicare Part B. As long as your spouse is actively working you could stay on that plan and DELAY MEDICARE PART B enrollment. Please speak to a licensed insurance agent to compare cost and benefits vs. Medicare enrollment with a Medicare Supplement or Medicare Advantage plans. Face to face meetings are best.
Nothing really... You can stay on your spouse's employer plan and delay enrolling in Part A until you want to transition to Medicare as your primary coverage. As long as your coverage with your spouse is "credible," meaning there are at least 20 employee's in the Group Plan you have nothing to worry about. That said, there is no problem applying for Part A at 65 because you will not have to pay a premium and that way you will already have a Medicare # in the system when you are ready to start Medicare with Part B. Talk to a licensed Agent that can help you understand this and prepare you with cost to you for their expertise.
If you are covered by your spouse's employer health plan, you can delay enrolling in Medicare Part A without penalty, as long as you enroll within eight months of your employer coverage ending or your spouse retiring, whichever comes first. You also won't face penalties for delaying Part B if you enroll within eight months of losing your spouse's employer coverage.
Elaboration:
Special Enrollment Period:
You have a special enrollment period when you can sign up for Medicare without penalties. This period begins when your employer coverage ends or your spouse retires.
Employer Size:
The special enrollment period and waiver of late enrollment penalties apply regardless of the number of employees your spouse's employer has.
Part A:
If you qualify for premium-free Part A, you can enroll in Part A, but delay enrollment in Part B until your group coverage through your spouse's employer plan ends.
Part B:
If you have creditable coverage under your spouse's employer plan, you can choose to delay Part B enrollment until after you lose that coverage.
Late Enrollment Penalties:
If you don't enroll in Part B during your special enrollment period, you may have to pay a monthly late enrollment penalty. This penalty increases by 10% of the Part B premium for each 12-month period you delay enrollment.
HSA:
If you have a Health Savings Account (HSA) with your employer plan, enrolling in Part A or Part B will affect your ability to contribute to it, according to HealthPartners. You can't make new HSA contributions after enrolling in Medicare Part A or Part B.
Nothing happens. However, it is to your advantage to enroll in part A because it's free
Part A is for hospitalizations so the way it would work is if you went to the hospital. Typically your employer plan pays first and then Medicare will pay next. It will reduce your hospital bill. There is no downside to signing up for part A
And you should also talk to a professional as to whether you'd be better off being on a Medicare supplement plan
Oftentimes it's cheaper. If your employer makes you pay a lot of money for your health care for having a spouse on it, it can be better coverage at a lower cost to go on a Medicare supplement plan
It seems like Medicare has a penalties for their coverage whether it's A, B, D. I would recommend enrolling into part A since it is free to you and your entitled to it and your wife's employer insurance will be the primary and Part A would be the secondary if your were hospitalized. If you decide to stay on your wife's employer plan then I would recommend to delay the Part B premium but Medicare does have specifications for group coverage that must be followed to avoid the Part B penalty.
Part A does not usually come at a cost unless you (or your spouse) worked less than 10 years paying into Medicare. So there is no reason to delay Part A. Part B does come with a monthly premium so if you (or your spouse) are still working and they have a great plan at low cost then you ca delay joining Part B because you have credible coverage from your employer. Once you stop working then you should sign up for Part B and we can talk about plans that help with the gaps in A & B.
Nothing really :-) But there is no reason to delay because there is no out of pocket expense at 65 to start your Part A. I encourage clients to start their Part A and just have it as back up to their spouses' insurance.