Question Re: Part D Penalty

[Nikita]

This is a 2 part question:
If someone delays enrolling in Part B for several years (and does not have other health coverage) and then finally enrolls during the general enrollment period with a July 1 effective date - would that be considered IEP or ICEP?

And secondly, would they have a late enrollment Part D drug penalty assessed, even if they enrolled in an MAPD with July 1 effective date?

I was under the impression that under this scenario the person would not have a drug penalty because they are in their IEP and I thought you had 63 days to get a drug plan after IEP.....I am posting this question here because I am getting conflicting answers... Thanks!

 

[LostDollar]

IEP relates to the date a person turns 65. The date clocks for Parts A, B and D all start when the person turns 65.

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https://www.seniormarketsales.com/sma_client/medicare_advantage/medicare_advantage_enrollment.cfm

 

[TN_agent]

They aren't in IEP anymore, that ended three months after the month their Part A went into effect, they can use ICEP to enroll in MAPD, not standalone PDP. Must submit application prior to July 1st. They will have the late enrollment penalty unless they have had creditable coverage since 65 or get extra help.

 

[DS4]

Enrollment in Part A, with no "creditable coverage", the LEP clock starts ticking

 

[Nikita]

They aren't in IEP anymore, that ended three months after the month their Part A went into effect, they can use ICEP to enroll in MAPD, not standalone PDP. Must submit application prior to July 1st. They will have the late enrollment penalty unless they have had creditable coverage since 65 or get extra help.

OK what if they delay enrolling in Part A and Part B until the general enrollment period? Would that enrollment then be considered their IEP as per your response above?

 

[TwoCents]

OK what if they delay enrolling in Part A and Part B until the general enrollment period? Would that enrollment then be considered their IEP as per your response above?

Do you actually have a client who is sitting around for the next general enrollment period to start in January??

More than likely, this person is going to end up with dates: Part A (would have a retroactive start date relative to when Medicare is applied for), a Part D date that should match the first of the following month from when the Medicare application is submitted for, and the Part B date of 7/1/17.

So you want to confirm that Part D date and they'd have the IEP for the 7 months around it. Part D LEP shouldn't be a factor since they weren't eligible to enroll into a Part D plan prior to this time.

Also, if the person is paying for Part A, enrolls into Part B during the GEP, they have an SEP from 4/1 to 6/30 to enroll into Part D coverage. Any plan applied for during that window would start 7/1.

 

[LostDollar]

So you want to confirm that Part D date and they'd have the IEP for the 7 months around it. Part D LEP shouldn't be a factor since they weren't eligible to enroll into a Part D plan prior to this time.

I think IEP relates only to age 65 and there would be a part D penalty if they went more than 63 days after the IEP without a PDP unless they had other creditable drug coverage.

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OK what if they delay enrolling in Part A and Part B until the general enrollment period? Would that enrollment then be considered their IEP as per your response above?

IEP relates to turning 65, not when you apply for a Medicare related coverage.

https://www.medicare.gov/sign-up-ch...parts-a-and-b/when-sign-up-parts-a-and-b.html

 

[TwoCents]

I think IEP relates only to age 65 and there would be a part D penalty if they went more than 63 days after the IEP without a PDP unless they had other creditable drug coverage.

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IEP relates to turning 65, not when you apply for a Medicare related coverage.

https://www.medicare.gov/sign-up-ch...parts-a-and-b/when-sign-up-parts-a-and-b.html

So you're going to tell me that all these wonderful people who are coming over from foreign nations who start our wonderful Medicare program past the age of 70 are all being assessed an LEP? And your IEP more or less starts when your Part A starts which could be prior to age 65.

I will back off my statement a little in that a person who didn't start Part A or Part B when eligible at age 65 but then does so later, could face a Part D LEP. But I'd have to do some more digging.