Understanding Medicare Part B Late Enrollment Penalties and How to Avoid Them

5/15/25

Medicare Part B provides coverage for outpatient medical services such as doctor visits, preventive services, outpatient care, and certain home health services. According to Medicare.gov:

• Initial Enrollment Period (IEP) begins three months before turning 65 and extends three months after the birthday month.
• Special Enrollment Periods (SEPs) occur when certain life events happen, such as losing employer coverage.
• Part B penalty: a 10% premium increase for each full 12-month period enrollment was delayed, which lasts for as long as you have Part B coverage.
• Real-life example: Delaying enrollment by two years leads to a 20% increase in premiums.
• Strategies include timely enrollment during IEP or SEP, closely monitoring employer coverage status, and consulting an advisor.

Professional assistance: Kim & Co Agency can provide personalized advice to ensure timely Medicare enrollment and avoid penalties. We offer a zero cost no obligation consultation.