Why do so many seniors wait until the last minute to enroll in Medicare, and how can agents help prevent bad decisions?
Answered by 20 licensed agents
Why Seniors Delay Enrollment:
1. Lack of Awareness or Understanding
Many seniors aren’t fully aware of their Medicare Initial Enrollment Period (IEP), the penalties for late enrollment, or the options they have. They might assume they’ll automatically be enrolled or think they don’t need to worry until a later time.
2. Fear or Overwhelm
The Medicare system can feel overwhelming with its various parts (A, B, C, D, Medigap). The fear of making the wrong choice often leads to procrastination.
3. Health or Work Factors
If seniors are still working or have employer-provided health insurance, they may think they can delay Medicare enrollment without consequences. However, this can be risky if their employer insurance isn’t considered "creditable" (as good as Medicare).
4. Waiting for a "Perfect" Plan
Some seniors wait until they are sure about which plan is best, hoping to get more information or thinking they’ll figure it out later. However, waiting can often result in missed opportunities or more limited choices.
They wait because some people procrastinate. on the second part of your question, If a client will listen to an experienced agent instead of friends who, of course don’t certify each year to give advice. Good decisions can be made for that particular client based on need and income. That boils down to a trust issue for people. You got somebody that is a broker (Meaning multiple companies) someone like myself with 37 years experience in insurance, can help a client find the right plan.
When new Medicare prospects call me, I advise them to sign up for Medicare Part B two months before their start date, so it leaves plenty of time to generate a Medicare number and start date.
A client should never be rushed to make a decision. With that said, there are deadlines and enrollment periods with Medicare that need to be followed. I advise clients to ask as many questions as needed to be comfortable with their decision. Advising on plans is my role. Deciding on plans is their's . Each enrollment is your choice for the next year. My advice, "Plans change from year to year and so can you."
Last year, I had a client, who was laid off on the last day of the month. We applied for her Part B on the last day of the month and enrolled her in the plan of her choice for the effective date of the next day. When you have been doing this as long as I have, you know how to make these things happen.
Seniors may be confused about their options and thus procrastinate. The agent should fully get to understand the clients needs and discuss options with them
Some people wait because they think they will automatically enroll into Medicare without having to do anything. Automatic enrollment occurs only if you are already collecting social security retirement income. It is recommended that you meet with a local expert that can help you create a Medicare gameplan so that way it is a much smoother process.
Many seniors don't know how to enroll in part B for medicare when they retire or turn 65. The government doesn't make the steps very clear. For this reason it is important to align yourself with an agent that has experience in the field. Most people don't know that your need to be starting the process of applying for medicare 3-4 months before you want it to go into effect. Because of this many seniors are rushed into a decision that they may not be comfortable with.
Change isn't easy in many situations. Medicare, with all it's different parts, and rules, and choices can be overwhelming. People tend to put off making decisions when they feel unsure or confused. Many people work with an independent broker because they can save you research time by being able to compare several plans side by side. They consider your personal needs, clearly present your options and help you enroll in the plan of your choice. At ABC Medicare Plans Broker we explain all the different parts of Medicare A, B, C and D. We compare a Medicare Advantage Plan to a Medicare Supplement (Medigap) with a drug card. We explain the difference in premium cost and the out-of-pocket potential expenses, the difference in extra benefits and the difference in doctor choice. This is all at no cost to the client so why not have professional guidance? I honestly don't understand why anyone would choose not to work with a Medicare Broker.
I don’t allow prospects to hold off on their choices, since delaying a decision only makes things more dicey. Since picking a plan HAS to happen eventually, putting it off is just not acceptable. So, depending on the combination of brand name vs. generic drugs, there are going to be Rx’s bought through a Part D(rug) plan as well as through either a US or a Canadian discount pharmacy. You can’t use both for the same drug! Agents should help their clients by performing this service for them. If any agent begs off on this investigation, find a new experienced one who seems to be more compassionate with clients.
I think because they are confused and lazy, have no idea what to do. So they do nothing instead of finding out what to do, what plan they think would be a coverage for them.
But why they wait is their choice. Of course lot of people don't know the rules around it. So the smart thing to do is about 6 months before you turn 65 or plan to retire is start educating yourself?
There's plenty of information on YouTube that you can watch webinars and so forth that explain how social security works and how Medicare works
I believe lack of knowledge is the reason people wait. There are many tools available to assist beneficiaries. Connecting with an agent early on is the best way to be educated and have a subject matter expert at their finger tips. The Medicare Agent Directory is a great way to find a licensed professional to assist you.
It's not just seniors waiting for the last minute to sign up for Medicare, it's that they are only allotted three months prior to his/her 65th birthday, the birthday month, and two months after he/she turns 65. Anytime after that without a special enrollment event, the Medicare insurance carriers can start looking for ways not to ensure someone.
I think many seniors assume they will automatically be enrolled into Medicare when they turn 65. I recently turned 65 and the info I got from Social Security was late and hard to understand. And of course we know trying to call Social Security is very difficult.
I think Medicare info needs to be gotten to Medicare recipients 6 months before their bday.
Keep the info short - If not drawing a monthly Social Security benefit check you need to physically sign up for Medicare yourself 3 months before your birth month.
Most seniors are not aware that their Medicare Advantage plans change the benefits within the plans every year. Consequently, not only do they wait until the last minute, 47% don't even review their plans year over year. This is an extremely costly mistake that Seniors make each and every year. Lastly, there is a lot of complexity with Medicare and Seniors are paralyzed by that complexity, therefore they don't act and simply accept the status quo.
Many seniors delay enrolling in Medicare due to many different factors. This could be due to confusion about enrollment periods, not understanding their different plan options, or thinking that they are enrolled automatically. Working with an agent can help you understand exactly how and when you can enroll in Medicare, which could help prevent lifelong penalties down the road. An agent can also help them understand what options may be available in their market, such as Medicare advantage plans, Medicare supplement plans, or Medicare Prescription Drug plans.
Many seniors wait until the last minute to enroll in Medicare due to confusion about deadlines, being overwhelmed by too many plan options, or false assumptions about automatic enrollment or employer coverage. Agents can help by educating clients early, simplifying choices, sending timely reminders, and offering personalized guidance to avoid penalties and poor coverage decisions.
