This is all very important stuff, but let me tell you about the MISTAKES that the GOVERNMENT makes, all the time, in Medicare:
1.) Medicare Part “B” late enrollment penalties. There is a penalty of 10% of the base, Part B Premium, for every year that a qualified beneficiary does not sign up for Part “B” of Medicare. This Penalty is WAIVED for those who have group insurance, through an employer or spousal coverage. The government ROUTINELY charges Medicare beneficiaries who do NOT owe this “penalty” -— primarily due to incompetence on the part of the officials who sign people up for Medicare.
2.) Part “D” Prescription Drug coverage has a penalty for late enrollment, as well. That penalty is 1% of the base, average premium, for every month the beneficiary did not have Part “D” or “credible coverage” with a group health insurance plan. Those who retire at age 66 or later ROUTINELY have to fight this penalty, even if they never went a day without Prescription Drug coverage.
3.) Your government at work: I have had clients receive letters, from the government, which denied a medical claim due to Medicare being “secondary” and not “primary” -— This means that the government thought a group plan was STILL in force for this person. -— IN THE SAME WEEK, this client ALSO received a letter from CMS, the Center for Medicare and Medicaid Services, saying that this client would have to pay a PENALTY on Part D, due to A LAPSE IN DRUG COVERAGE!
Get it? The Left hand of government slaps them for having group insurance, though it does not exist anymore, while the Right hand of government slaps them for never having the group insurance that a previous letter, from the government, CLEARLY documented that they HAD! This person never missed a day of health coverage, never went “uninsured” but had to spend a couple of hours on the phone, with my help, to clear this up. THIS HAPPENS ALL THE TIME!!
Yes, I am a health insurance agent.
Pray for me!
RE: Part D penalty.
Once it is applied, the penalty continues as long as the recipient lives, even if the recipient later enrols in an approved drug program.
Interesting. This just happened to my mom. She has a supplemental policy along with medicare.