When to Sign Up for Medicare

by | Mar 15, 2023

Medicare is a federal health insurance program that provides coverage to eligible individuals who are 65 or older, as well as to younger people with certain disabilities. If you’re nearing 65 or are eligible due to a disability, it’s important to understand when you should sign up for Medicare and what options are available to you. In this blog post, we’ll go over the basics of Medicare enrollment, including eligibility requirements, the enrollment process, and key deadlines you should be aware of.

Eligibility for Medicare

You become eligible for Medicare when you turn 65, regardless of whether you’re still working. If you have a disability, you may be eligible for Medicare as early as age 25. In either case, you’ll be able to enroll in Medicare three months before your 65th birthday and have a seven-month initial enrollment period to sign up for Medicare Parts A, B, and D. You do not need to begin drawing Social Security to apply for Medicare.

If you’re still working and have employer-sponsored insurance, you may choose to delay enrolling in Medicare until you retire. If your employer has 20 or more employees, you’ll likely continue to receive insurance through your employer and won’t need to enroll in Medicare right away. However, if you have a smaller employer or your employer’s insurance is secondary to Medicare, you’ll need to enroll in Medicare during your initial enrollment period.

The Medicare Enrollment Process

The enrollment process for Medicare is relatively straightforward, but it’s important to understand the different parts of the program and what they cover. There are four parts to Medicare: Part A (hospital insurance), Part B (medical insurance), Part C (Medicare Advantage), and Part D (prescription drug coverage).

When you enroll in Medicare, you’ll have the option to sign up for Part A and Part B, which are the two core parts of the program. Part A covers hospital stays, including inpatient care and some skilled nursing facilities, while Part B covers doctor’s visits, lab tests, and other medical services. Most people don’t have to pay a premium for Part A if they’ve worked and paid into the Medicare system for at least 10 years, but there is a monthly premium for Part B. In 2023, the base premium for Part B is $164.90 per month. If you have a high income, you may need to pay more for Part B.

You may also choose to enroll in a Medicare Advantage plan, which is a type of health insurance that covers all of the services covered by Parts A and B and often includes additional benefits, such as prescription drug coverage. Medicare Advantage plans are provided by private insurance companies that are contracted with Medicare and are available in most areas of the country.

Finally, if you didn’t enroll in a Medicare Advantage plan that includes prescription drug coverage, you’ll need to sign up for a Part D plan to get coverage for prescription drugs. Part D plans are also provided by private insurance companies and vary in terms of the drugs they cover and the costs they charge.

Key Deadlines for Medicare Enrollment

It’s important to be aware of key deadlines when enrolling in Medicare, as some penalties may apply if you don’t sign up during the appropriate time period. Here are some key deadlines you should be aware of:

  • Initial Enrollment Period: This is the seven-month period that begins three months before you turn 65 and includes your birth month and the three months following it. During this time, you can enroll in Parts A, B, and D without paying a penalty.
  • General Enrollment Period: If you miss your initial enrollment period, you can enroll in Medicare during the general enrollment period, which runs from January 1 to March 31 each year. However, if you enroll during this time, you’ll be subject to a late enrollment penalty for Part B, which will increase your premium for as long as you have Medicare.

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