Speak with a licensed sales agent: 1-800-637-7602 TTY User 711 / Mon-Fri 8:00a - 8:00p
Looking for a plan? Enter your zip code to shop online.
Looking for a plan?
Enter your zip code to shop online.
Home / Resources / Medicare Part B Penalty: What Happens If You Sign Up Late?

Medicare Part B Penalty: What Happens If You Sign Up Late?

By Kolt Legette

Since 2003, Kolt Legette has helped clients navigate the often-confusing world of insurance. His number one goal is protecting the medical and financial wellbeing of every person he speaks with, wheth ... sceler they choose to buy insurance or not. Kolt loves representing the best brands in medical insurance as it allows him to provide side-by-side comparisons for his clients. This allows the client to decide which company works best for them. By putting the needs of the client above everything else, Kolt helps real people find affordable health insurance solutions for their most pressing healthcare needs. With his belief that peace of mind is priceless, Kolt's goal in every interaction is to make sure every person he speaks to leaves with the peace of mind they rightfully deserveRead more

May 20, 2020

Nobody wants to spend more than they have to on their healthcare coverage (or anything else, for that matter). So, if you’re eligible for Medicare, make sure you’re enrolled in Part B (medical insurance) and Part D (prescription drug coverage). If you wait too long, you’ll end up paying more than you should.

Why There’s a Penalty

It takes a lot of money and resources to run Medicare. But making sure that Medicare is available to everyone who needs it — today and in the future—is something from which many may benefit. That’s why enrolling in Parts B & D as soon as we’re eligible is so important.

The reason is simple — if everyone waited until they were sick to enroll in Part B or Part D, Medicare would never be able to sustain itself. The cost of paying for care for individuals who are ill and/or require expensive medications would far outstrip the amount of money taken in by Medicare in the form of premiums and taxes. That’s why Medicare needs everyone to begin paying their premiums for Parts B and D as soon as they’re eligible so there’s enough money to care for everyone when they need it.

Understanding Enrollment in Medicare Part B

If you began receiving Social Security or Railroad Retirement benefits at least four months before turning 65, you're automatically enrolled in Medicare Parts A and B.

There are instances, however, when you may not be enrolled in Part B. This may be because you, or your spouse, have other health insurance through an employer. Or maybe you had Part B at one time, and then dropped it when you got other insurance.

Whatever the case, if you have no other insurance and you’re eligible for Part B, you must enroll to avoid a penalty.

How Much Is the Late Enrollment Penalty for Part B?

For every 12-month period you don’t enroll in Part B when you’re eligible, you’ll pay an extra 10% of your monthly premium. If you didn’t enroll for two years, for example, you’d pay a penalty of 20% per month. Worst of all, you’ll continue to pay that penalty for as long as you have Medicare.

Keep in mind that Medicare has some special enrollment periods that may help you avoid a Part B late enrollment penalty.

Related Articles

Originally posted on Dec 08, 2020 04:12:33

Find a Plan Today!

Call a licensed sales agent

1-800-637-7602

TTY User 711

Mon-Fri 8:00a - 8:00p

The MedicareUSA website is operated by HealthPlanOne, LLC a licensed health insurance agency based in Connecticut; in California d/b/a HPOne Insurance Agency, license #OF30784. HealthPlanOne, is a licensed and certified representative of Medicare Advantage HMO, PPO and PFFS organizations and stand-alone prescription drug plans with a Medicare contract. Enrollment in any plan depends on contract renewal.

For a complete list of available plans please contact 1-800-MEDICARE (TTY users should call 1-877-486-2048), 24 hours a day/7 days a week or consult www.medicare.gov.

PLEASE NOTE: Medicare Supplement insurance is available to those age 65 and older enrolled in Medicare Parts A and B and, in some states, to those under age 65 eligible for Medicare due to disability or End-Stage Renal disease.

The purpose of this communication is the solicitation of insurance. Contact will be made by an insurance agent/producer or insurance company.

Medicare supplement plans are not connected with or endorsed by the U.S. Government or the federal Medicare program.

The Centers for Medicare and Medicaid Services (CMS) does not review or approve Medicare Supplement plan information.

MULTIPLAN_GHHJTCFENV2_2021_A

Last Updated 01/13/2021