Are You Automatically Enrolled In Medicare When You Turn 65?

Many individuals who are turning 65 will be enrolled automatically in both Medicare Part A and Part B (Original Medicare). If you’re receiving Social Security, the Social Security Administration will automatically enroll you at age 65. Medicare is controlled by the Centers for Medicare and Medicaid Services, but Social Security oversees enrollment. Social Security will send you application guidelines when your initial enrollment period starts, which is three months before your 65th birthday.

Medicare Part A 

Part A is a subdivision of Original Medicare, which involves hospital coverage. It covers the patient while they receive inpatient care in a hospital or a dedicated nursing facility. For 2020, Part A’s deductible is $1,408. 

If you are automatically enrolled in Part A, you will receive premium-free Part A.

Medicare Part B

Part B is the other subdivision of Original Medicare that caters to medical coverage. It encompasses doctor visitations and healthcare services as an outpatient. Some individuals receive Part A and Part B simultaneously to optimize coverage. For example, if the patient is in a hospital, their duration in the facility would still be handled by Part A. The doctor’s services would be taken care of under Part B. Part B services may feature:

• Examination for depression, cancer, and diabetes
• Influenza and hepatitis immunizations
• ECGs
• Medical equipment, among others

The government stipulates that the Part B monthly premium is $144.60 in 2020. This amount may be higher if the patient’s annual income is beyond $87,000. The annual deductible is set at $198.

You can withdraw from Part B if you already have primary coverage via your employer spouse or veteran’s benefits, and you wish to retain it. Withdrawing does not hamper your Social Security status; however, you might pay a fine in the form of permanently higher premiums if you opt into Part B later.

Non-automatic Enrollment to Medicare

There are Medicare plans you may not automatically enroll in when you turn 65, such as Medicare Part C and Part D. You have to sign up for these plans on your own.

Medicare Part C

Medicare Part C, or Medicare Advantage Plans, are private insurance plans accredited by the Medicare Program that address the shortcomings in hospital care and services. People who have Medicare Advantage must have enrolled in Parts A and B. Advantage plans consist of Part A and B coverage and can include drug coverage, dental care, vision care, and hearing care, among other coverage.

For 2020, the average monthly Part C premium is $36, but the premium rate varies considerably across policies ranging from $0 to almost $300.

Medicare Part D

Part D refers to prescription drug coverage, which includes medications not covered by Part B. This plan is usually issued by the insurer, making Part D premium rates and copays vary significantly.

For 2020, if the price of your drugs reaches $4,020, you will be responsible for 25% of the cost of prescription drugs for the remainder of the year.

For more Medicare-related questions involving cost, eligibility, and enrollment, contact Advanced Insurance Concepts at 816-476-8191 to maximize your Medicare options.