BLOG #6...





                                          AREAS OF CAUTION





  • COBRA Coverage


* Under federal COBRA law, companies with at least 20 employees must allow former employees to buy into the group health plan for up to 18 months after separation


* After turning 65, however, once you leave the job, you MUST enroll in Part B within eight (8) months after you retire


* The 8 month window is known as the "Special Enrollment Period"


*  If you miss this deadline and your employer coverage expires, you could find yourself uninsured for many months


* You will not be allowed to enroll in Medicare Part B until the next "General Enrollment  Period," which runs from January 1 to March 31.  Your coverage won't begin until July


* PLUS... to add insult to injury you may be subject to late penalties



  •  Prescription Coverage


* You are about to enroll in a Medicare Supplement, or just join Medicare and you have plenty of prescription pills to last for another 90 days, or so


* You decide to delay taking a Part D Plan (prescriptions) due to your ample supply on hand


* Sounds like a prudent idea, HOWEVER, if you go more than 63 days (more than 2 of the  longest months in the calendar year), you may be subject to the Part D penalty


* The Part D penalty is 1% of the national average cost of Part D plans for every month without coverage,  currently that means about $.35 per month.  That penalty will be added to your Part D  premium for the rest of your life