If you’re eligible for Medicare, the most crucial time of the year is approaching: open enrollment. Whether you’ve been a Medicare subscriber for years or this is your first year of eligibility, it’s vital not to miss this period.
Open enrollment is the only time each year when seniors can make changes to their Medicare coverage. This year, the open enrollment period begins on October 15.
Get Ready for Medicare Open Enrollment
As Medicare open enrollment approaches, it’s essential to review your Medicare options, current coverage, and health expenses from the past year. Understanding Medicare’s offerings will help you evaluate your options and decide whether to make changes during open enrollment. Here’s what you need to know about Medicare.
Who Is Eligible for Medicare?
Medicare coverage typically begins automatically at age 65 if you’ve paid Medicare taxes for at least ten years. Certain younger individuals with specific medical conditions and disabilities may also be eligible. While Part A is free, other parts require a monthly premium.
What Does Medicare Cover?
Medicare is divided into four parts, each offering different benefits. Before enrolling or making changes, it’s important to review each part and determine what you need.
Part A: Covers inpatient hospital care, skilled nursing facilities, and certain home healthcare services. Most people are automatically covered at age 65.
Part B: Covers medical services and supplies, including outpatient care, preventive services, and medical equipment. Part B requires enrollment and a monthly premium, often deducted from Social Security benefits.
Part D: Provides prescription drug coverage, which is not included in Parts A and B. You can get Part D through a Medicare Advantage plan or by enrolling in a separate Part D plan during open enrollment.
Part G: Also known as Medigap, these plans fill coverage gaps left by Original Medicare (Parts A and B). Part G offers comprehensive coverage and is managed by private insurance companies, similar to traditional health insurance.
How to Change Your Coverage
During open enrollment, you can adjust your Medicare coverage in several ways. Original Medicare Parts A and B are obtained through the federal government, while Part G and supplemental insurance plans are provided by private companies.
To switch plans, contact your current insurance provider, who will handle the transition. If you want to return to Original Medicare from a private plan, notify your private insurance company.
Consider Supplemental Insurance
Medicare doesn’t cover all medical expenses, so you might want to purchase supplemental insurance from a private company. These policies can cover out-of-pocket costs not included in Medicare, with many plans capping your out-of-pocket expenses to protect you from high medical bills.
Important Enrollment Dates
The Medicare open enrollment period runs from October 15 to December 7. During this time, you can change your Medicare plan, add or drop Part D coverage, or switch between plans. Missing this window limits your options, though there are still opportunities to make changes between January 1 and February 14, or during the general enrollment period from January 1 to March 31, though you may incur penalties.
Be sure to mark these dates and take action during the open enrollment period to avoid penalties or limited options. Proper preparation ensures you have the coverage that best meets your health needs.
