If you are a veteran, you may be wondering how your Veterans Health Administration (VA) assistance is affected by enrolling in Medicare. Medicare offers a host of benefits that go beyond what traditional VA health covers. VA health care is often confined to illnesses and injuries related to your service. Here is a quick overview of how you can access these increased benefits.
What is Medicare?
In simple terms, Medicare is health insurance for seniors provided by the federal government for all eligible U.S. citizens and lawful permanent residents. It is not a compulsory health insurance plan, meaning you don’t have to sign up for it if you don’t want to. Just be sure not to change your mind later, as there may be penalties if you decide to sign up after your enrollment period. To be eligible to enroll in Medicare, you must be 65 years of age.
The Parts of Medicare
Medicare is divided into parts that offer progressively more specialized care. You can sign up for one or more parts depending on the coverage you need. The four parts are:
- Medicare Part A (hospital insurance)
- Medicare Part B (medical insurance)
- Medicare Part C (expanded or preventative health insurance)
- Medicare Part D (prescription drug coverage)
What Benefits Does Medicare Provide?
Some of the treatments that Medicare and its parts could cover include:
- Prevention services
- Medical equipment
- Home health care
- Inpatient hospital stays
- Hospice care
- Prescription drugs
- Insulin
- Acupuncture
- Dental and vision care
How Enrolling in Medicare Works to Your Advantage
As a veteran, enrolling in Medicare is to your advantage. It covers many health issues and treatments not cared for by the VA. Medicare may also cover medical situations for family members that cannot be addressed under the VA. Our experienced agents will walk you through the enrollment process so you are covered in the manner that works for you.
What Happens If You Fail to Enroll by 65?
Medicare has an enrollment period. By ensuring every eligible person is on Medicare at the correct time—not just when they need treatment—Medicare can reasonably cover the program’s costs. Each person’s enrollment period starts three months before they turn 65 and ends three months after their birthday month. If you’re going to sign up for Medicare, this is the best time to do so. You will be penalized with higher premiums if you don’t sign up on time.
Late Enrollment Penalties
If you do not enroll in the three months before or after the month of your 65th birthday (a seven-month window in total), the following penalties will be applied for signing up later:
- Medicare Part A: You will pay an extra 10 percent on top of your monthly premium for twice the number of years that you failed to enroll. If you delay enrollment for two years, you will pay the extra 10 percent for four years after you sign up.
- Medicare Part B: Every year you do not sign up, an extra 10 percent will be added to your monthly premiums. For example, if you do not sign up for 24 months after you turn 65, you will pay 20 percent more than the regular monthly payment. This permanent penalty means your premium will be higher for the rest of your life.
- Medicare Part C: There are no late enrollment penalties for Medicare Part C. Part C, also known as Medicare Advantage, can only be purchased if you have already signed up for Part A and B.
- Medicare Part D: If you do not have creditable drug coverage outside of Medicare Part D and fail to sign up for it, you will pay an extra 1 percent each month you do not sign up. For example, if you wait 15 months after your enrollment period, you will be permanently charged a 15 percent penalty fee on every premium. This is recalculated yearly, so if your premium increases, so will your penalty amount.
In some cases, an exception can be made to avoid these penalties. Check with your insurance agent to learn how to apply for this.
The VA Recommends You Sign Up for Medicare as Soon As Possible
By enrolling in Medicare, you can receive treatment for a broader range of health concerns. For this reason, the VA recommends you sign up as soon as possible. The number of veterans in need, the cost of healthcare, and funding from Congress are all factors that affect the VA’s ability to serve. It has stated it is safest for veterans to enroll in Medicare to have an existing support system.
Your Health Is Important. Let Us Help.
You want to stay strong and healthy as long as possible. The right healthcare plan can make that goal a reality while giving you peace of mind. Speak with one of our experienced local agents today to ensure you are on track to apply for the Medicare coverage you need.