America’s Veterans need to enroll in Medicare the right way

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"My husband, Jason, is a Vietnam Veteran who never enrolled in Medicare Part B because he has been using the VA for his medical care. He is now 77 years old and retired at 65, about 12 years ago.

Recently, he has been experiencing heart issues and wishes to see a local cardiologist recommended by his best friend. To do so, he needs to enroll in Medicare Part B. However, Social Security informed Jason that since he didn't enroll when he turned 65 in 2011, he will need to pay a higher premium.

After reading your Medicare articles in our local newspaper, we are seeking your guidance. Is there a way for him to enroll in Part B without incurring the additional penalty? Thank You!" - Christina

• How can a Vietnam Veteran, who has been using VA medical care, enroll in Medicare Part B at 77 years old?

• What are the implications of not enrolling in Medicare Part B at age 65, specifically regarding penalties?

• Is there a way to enroll in Medicare Part B without having to pay the penalty for late enrollment?

• Are there any exceptions or solutions available for veterans who have delayed Medicare Part B enrollment due to reliance on VA healthcare?

Toni Says:

Jason did not enroll in Medicare when he first turned 65 and is no longer working with “true” employer benefits. The key words are “is still working.” Jason will get the famous Part B “late enrollment” penalty when he enrolls in Medicare Part B during Medicare’s General Enrollment Period from January 1 to March 31.

Late Enrollment Penalty

Since Jason didn’t enroll in Part B when first eligible in 2011, he faces a 10% penalty for each 12-month period he delayed enrollment. After 12 years, this equates to a 120% penalty. For 2024, this means an extra $209.64 on top of the $174.70 Part B premium, totaling $384.34 per month.

Importance of Enrolling in Medicare On Time

Enrolling in Medicare at 65 is necessary, whether you're a veteran using VA services or solely reliant on Medicare. Healthcare needs outside the VA can arise unexpectedly. Chapter 1 of the Medicare Survival Guide Advanced Edition provides detailed enrollment guidance for veterans.

Options for New Medicare Enrollees

Since Jason will be enrolled in Medicare Parts A and B for the first time, the Medicare enrollment rules apply:

• Medicare Supplement Insurance: Offers a 6-month open enrollment period upon enrolling in Part B, during which no health questions are required for underwriting. Full underwriting applies post this period.
• Medicare Advantage Plans: Coverage begins the first day of the month after signing up. Veterans can benefit from extra services provided by these plans. Enrollment requires both Parts A and B.

Medicare Part D and VA Coverage

Jason won't face a Part D late enrollment penalty, as the VA provides "creditable" prescription coverage. There's also no "donut hole" for prescriptions through the VA.

Continued VA Care

Jason can continue using the VA for care if Medicare premiums are costly. He can inquire about non-VA care options by contacting his local VA for referrals.

Additional Resources for Veterans

Special note to Veterans Scott Deluzio’s “Drive On” podcast on driveonpodcast.com, which is a resource for veterans. His podcast with Toni will air in March. Email your Medicare questions to  [email protected] or call 832-519-8664.

Listen to the Medicare Moments Podcast

Toni's new video series that helps you navigate the Medicare enrollment process is available at a discount!

Toni's books, articles, and many additional resources are available at www.tonisays.com.

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