Sign up?

[CriticalError]

I am 68 and current covered by an employer sponsored plan, and Blue Cross/Blue Shield. I signed up for Medicare A when I turned 65, but did not take B. My employer is now offering a $150 monthly incentive if people with existing coverage drop out of their program. I am hearing about large increases in Medicare who sign up for the first time in 2016. Would I be treated as a first timer if I get Medicare B in 2016.

 

[MBSC]

While your current employer is offering an incentive to "all employees" there are restrictions once the employer finds out your other coverage would be a federal health insurance program like Medicare. In general, large employers are not allowed to offer incentives to choose Medicare over the employer's group plan.

1995 CMS final regulations (§411.108(a)(9)). Employers (with 20 or more employees) may not offer any incentives, financial or otherwise, to discourage Medicare beneficiaries from enrolling in the group health plan. If an employer offers a Medicare beneficiary an incentive, financial or otherwise, not to enroll in the group plan, the group health plan is subject to a civil money penalty of up to $5,000 for each violation. In addition, an excise tax could be applied that would equal 25% of the plan's expenses incurred during the calendar year.

Source: www. avalonbenefits. com/member_over65.php

 

[CriticalError]

I have Federal BC/BS. Does that mean I don't qualify for the incentive. If so I would just keep my employer sponsored health care until I retire and then switch to BC/BS and Medicare.

 

[MBSC]

The best source would be your HR Supervisor. All rules have loopholes which is why I said "in general". I just didn't want you to be surprised if they say you do not qualify.

 

[CriticalError]

The best source would be your HR Supervisor. All rules have loopholes which is why I said "in general". I just didn't want you to be surprised if they say you do not qualify.

I pretty much have to wait until I start drawing Social Security at age 70 because you are charged more if you are not collecting SS when you sign up. I am effected by the WEP so I am trying to max out my SS. I may continue working past age 70 if my health holds up. I don't have a very strong desire or need to retire any time soon, and right now I am thinking age 73. I retired from USPS 10 years ago, and drawing my CSRS retirement, but I went straight to work for the state, and I am eligible to retire again. I will talk to HR to see if I can take that bonus if I continued working past age 70.