Allen Heffler Willow Grove- Don’t Make this Medicare Mistake
You would think that enrolling in Medicare would be pretty easy. After all, thousands of Americans do it daily. But, the devil is in the details; there is much that can go wrong. Most Americans are entitled to it when they turn 65. A common and costly mistake sometimes occurs when people work beyond age 65, delay retirement, and delay signing up for Medicare. People think that they have several months to sign up for Medicare, without incurring a penalty, after leaving their job. Some think that continuing employer insurance through COBRA provides them a time cushion to review their options.
This is a mistake! Medicare regulations say that once a person age 65 or older ceases “current” employment, any other type of insurance, including COBRA, kicks in only after Medicare pays its share. Medicare’s consumer handbook does warn that COBRA coverage isn’t “considered coverage based on current employment,” but it doesn’t explain why that’s important. If there’s no Medicare coverage, the insurer is under no obligation to pay Medicare’s portion—even during that eight-month grace period. Furthermore, by delaying Medicare Part B beyond “current employment” status, they could lose their Special Enrollment Period (SEP). This SEP would allow them to get into Medicare Part B and a Medicare Insurance plan, guaranteed and immediately. Without this SEP, the individual might have to wait for the general enrollment period in the beginning of the year, with a start date of July 1.All of this sounds pretty confusing, but it is vital not to make a mistake. Any questions- we are here to help! Allen Heffler Willow Grove Medicare broker, call (215) 658-1776
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