How to Avoid Paying Medicare Late Enrollment Penalties
Published by: Medicare Made Clear
Medicare late enrollment penalties can catch some people unaware. Sometimes people simply forget to enroll during their Initial Enrollment Period. Sometimes people opt to delay thinking they will qualify for a Special Enrollment Period because they’re still working past 65 but then end up not having creditable coverage or not qualifying for a Special Enrollment Period after all.
Because a person could face late enrollment penalties for Medicare Part A, Part B and Part D, it’s important to be aware of how to avoid these costly premium penalties. First though, let’s quickly look at which parts of Medicare have late enrollment penalties.
What Parts of Medicare Have Late Enrollment Penalties?
Medicare Part A, Part B and Part D can have late enrollment penalties for premiums. If you are late to enroll and don’t qualify for a Special Enrollment Period, you could pay any or all of these premiums depending on what kind of coverage you choose and when you sign up. See below for a quick overview on each penalty and links to videos to learn more and see examples.
Medicare Part A Premium Penalty
If you have to pay a premium, the penalty is 10%
Charged for twice the number of years you delay enrollment