Do I need Part B?
If you are not enrolled in an Employer Group Plan at age 65, Medicare requires you to enroll into Part B upon your eligibility for Part A.
If you do not enroll into Part B upon first eligibility you may be subject to a Late Enrollment Penalty when you decide to enroll later.
If you are not enrolled in an Employer Group Plan at age 65, Medicare requires you to enroll into Part B upon your eligibility for Part A.
If you do not enroll into Part B upon first eligibility you may be subject to a Late Enrollment Penalty when you decide to enroll later.
Late Enrollment Penalty
Late Enrollment Penalty
If you do not enroll in Part B during your initial eligibility period you may be assessed a 10% penalty for every year you are not enrolled in Part B. For example, if you wait three years to enroll in Part B, your monthly premium would be 30% higher than the current premium at the time you do enroll. And you will pay that penalty for as long as you have Medicare.
If you do not enroll in Part B during your initial eligibility period you may be assessed a 10% penalty for every year you are not enrolled in Part B. For example, if you wait three years to enroll in Part B, your monthly premium would be 30% higher than the current premium at the time you do enroll. And you will pay that penalty for as long as you have Medicare, which will likely be the remainder of your life.
COBRA will not avoid the Late Enrollment Penalty
COBRA will not avoid the Late Penalty
You can only delay Part B enrollment without penalty if you’re currently working and covered under Employer Group Insurance, and that Group Insurance is considered creditable coverage.
I have Group Insurance
When you are still working and covered by group insurance, you’ll still need to enroll into Part A of Medicare, and that's okay because most likely, you're receiving Part A for free.
You can only delay Part B enrollment without penalty if you’re currently working and covered under Employer Group Insurance.
I have Group Insurance
In this situation, your employer provided group insurance will remain as your primary coverage, but Medicare Part A will become your secondary coverage.
However, you may want to delay your Part B enrollment, and because you’re covered by an employer group plan you can do so without being subject to the Late Enrollment Penalty. Later when you retire or leave your company, you'll lose your group insurance and can then enroll in Medicare Part B, without penalty.
If you’re covered by an employer group plan and the cost and benefits are satisfactory to you, then under most circumstances it is not to your benefit to enroll in, and pay for, Medicare Part B. You would be paying a monthly Part B Premium of $185.00 or more, but receiving no additional benefits. You’d simply be duplicating insurance with no added benefits and throwing away $185.00 every month.
When you are still working and covered by group insurance, you’ll still need to enroll into Part A of Medicare, and that's okay because most likely, you're receiving Part A for free.
In this situation, your employer provided group insurance will remain as your primary coverage, but Medicare Part A will become your secondary coverage.
However, you may want to delay your Part B enrollment, and because you’re covered by an employer group plan you can do so without being subjected to the Late Enrollment Penalty. Later when you retire or leave your company, you'll lose your group insurance and can then enroll in Medicare Part B, without penalty.
If you’re covered by an employer group plan and the cost and benefits are satisfactory to you, then under most circumstances it is not to your benefit to enroll in, and pay for, Medicare Part B. You would be paying a monthly Part B Premium of $185.00 or more, but receiving no additional benefits. You’d simply be duplicating insurance with no added benefits and throwing away $185.00 every month.
Employer Plan or Medicare?
Whether or not you should keep your employer coverage and delay your Part B enrollment comes down mostly to cost. You’ll want to compare the cost of Medicare Part B, and any additional benefits you choose, with the cost of your employer group coverage and the benefits it provides.
Employer Plan or Medicare?
Whether or not you should keep your employer coverage and delay your Part B enrollment comes down mostly to cost. You’ll want to compare the cost of Medicare Part B, and any additional benefits you choose, with the cost of your employer group coverage and the benefits it provides.
Should you decide to delay your Part B enrollment and keep your employer group plan you can do so until a day that you either lose your employer group coverage, or decide that going full Medicare would be a better alternative. Again, this generally just comes down to a cost and benefit comparison. There is no additional benefit in being covered by an employer group insurance plan and also paying for Medicare Part B.
Should you decide to delay your Part B enrollment and keep your employer group plan you can do so until a day that you either lose your employer group coverage, or decide that going full Medicare would be a better alternative. Again, this generally just comes down to a cost and benefit comparison. There is no additional benefit in being covered by an employer group insurance plan and also paying for Medicare Part B.
This is a proprietary website and is not associated with, endorsed, or authorized by Medicare or the federal government.
We do not offer every plan available in your area. Any information we provide is limited to those plans we do offer in your area. Please contact Medicare.gov or 1-800-MEDICARE to get information on all of your options.
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