To add to the Medicare confusion comes this question, “What happens if I enroll in Medicare, then go back to work using my employer’s insurance, then leave work again?”
Leaving Medicare to Return to Work Coverage
Returning to work with Medicare is usually much easier than you think. If your work is offering insurance benefits, you will want to see if you qualify for health insurance. Also, check with them to see if you are required to keep your Medicare part B if you enroll in the company plan. If you choose to stop Part B when you return to work, you’ll have to drop your Medigap policy, too.
You will keep your Medicare Part A regardless unless you are currently paying an extra premium for it. In some cases, you will save money by suspending your Medicare part B and going with work coverage. In other cases, it may be cheaper just to stay with your Medicare Part A and B and Medigap and skip the work plan. If you drop Medicare Part B, however, you typically will not be able to return to Medigap without Medical Underwriting.
Enrolling back on Medicare after leaving work coverage.
If you had Medicare B but left it to go on work coverage and now want to go back on Medicare again, you can! You will receive a Special Enrollment Period which you can use to enroll back on Medicare.
Medicare’s Special Enrollment Period will grant you eight full months to enroll in Medicare B after leaving your employer’s insurance, even if you already had Medicare, previously. You will not have to pay any late-enrollment fees or penalties. (Source: Medicare.gov) WARNING: While you have 8 months to enroll in Medicare Part B, you only get 2 months to enroll in Medicare Part D or Medicare Advantage
Enrolling Back on Medigap after leaving work coverage.
You may want to get a Medigap Plan (Medicare Supplement), once you return to Medicare from work. You are usually not guaranteed to be approved when enrolling in Medigap even if you had it before.
Tricky Rule: If you have health insurance from your small business employer (less than 20 people) and kept Medicare Part A and B, you’ll have 63 days to select a Medigap policy and have federal guaranteed issue rights. This can happen only if your employer’s coverage is secondary to Medicare. So if you left Medigap to go with a larger employer, you will typically have to go through underwriting unless you find provider or state exceptions.
Some (but not all) insurance companies may still approve you without Medical underwriting as long as you can show proof that you were just previously covered from work. This is not federal law so it is on a case by case basis. We can help you identify which companies will not require Medical Underwriting when returning to Medigap from work. Call us at 800-930-7956.
Some states, such as CT and NY, have different regulations than the federal government regarding guaranteed issue for Medigap. If you live in one of these states, you should check with them to learn more about your rights. Give us a call and we can help you review your options and reenroll on a plan.
Plain Language Return to Medigap from Work Recap
You can leave your Medicare, Medicare Advantage, or Part D Drug coverage to go on a plan offered by your work and then return with no penalties or waiting period and Medical-based approval as long as you apply at the right time. Returning to Medigap is not guaranteed but some companies and states will allow you to enroll without medical underwriting.
Senior65.com can help you with this process. We can help you enroll at no additional cost and we charge nothing for our services. Give us a call at 800-930-7956.