When Should People Apply for Medicare? Find Out

Senior citizens who have recently turned 65 or are approaching their 65th birthday should apply for Medicare. It’s important to stay on top of enrolment deadlines and understand what the different parts of Medicare cover and entail. Here’s a handy guide that covers enrolment criteria and other must-know details.

Parts of Medicare

To begin with, Medicare plans consist of Parts A, B, C, and D. Medicare Part A covers hospital stays, and Part B covers doctor fees and costs related to diagnosing and treatment. Part C, also called Medicare Advantage, is offered by private insurers – it covers additional things like vision, dental, and hearing in addition to the expenses covered by Parts A and B. Part D plans cover the cost of prescription drugs. However, some Medicare Advantage plans also offer prescription drug coverage.

Enrollment Period

A person who is three months shy of turning 65 can apply for Medicare. The enrolment period includes the three months before one’s birthday, the birthday month, and the three months after. People who apply as early as possible can browse a wide variety of plans and apply with little to no delays.

Medicare will impose a late enrolment penalty on all people enrolling in Part B or D after the Initial enrolment period (IEP). There is no late enrolment penalty for applying to the Medicare Advantage plan or Medicare Supplement plan after the IEP. However, people who have creditable drug coverage from an employer or union may qualify for a Special Enrolment Period or a SEP.

People who receive Social Security benefits or benefits from the Railroad Retirement system four months before they turn 65 are automatically enrolled in Parts A and B of Medicare. Their plans come into effect on the first day of the month they turn 65. People who don’t receive Social Security benefits or benefits from the Railroad Retirement system can enroll in Medicare three months before turning 65 by calling or applying online.

People who wish to enroll in a Part D plan need to apply within the eligibility period, or they may run the risk of a late enrolment penalty, increasing the overall part D premium one has to pay.