Medicare open enrollment: dates, deadline and what happens if you don’t choose your plan on time?
Medicare participants will have just over seven weeks to take advantage of open enrollment to sign up or change their coverage. Here’s what to know…
Every year, Medicare participants have an opportunity to sign up or change plans during the seven-week open enrollment period that begins 15 October. The deadline to finalize your decision on what kind of coverage you’d like to have for 2024 is 7 December.
The Centers for Medicare & Medicaid Services released the 2024 Medicare Parts A & B premiums and deductibles last week. While “about 99 percent of beneficiaries do not have a Part A premium since they have at least 40 quarters of Medicare-covered employment,” Part B premium and deductibles will see a slightly less than 6 percent increase in 2024.
Choice of Medicare plans
Enrollees can choose between Original Medicare, which includes both Part A and Part B, Medicare Advantage plans and Part D prescription drug plans.
Open enrollment for Medicare plans in 2023
Medicare enrollees will have just over seven weeks to sign up for their 2023 plan. Those who want to stay on their current Medicare coverage do not need to re-enroll. However, the costs and covered benefits can change from year to year, so it is recommended to have a look at the coverage choices available each year. That way you can choose which options best meet your health needs.
Enrollment begins 15 October and runs through 7 December. You can find information and compare personalized options for health and drug coverage with the Medicare Plan Finder at Medicare.gov. The Centers for Medicare & Medicaid Services (CMS) has updated the Medicare Plan Finder with Medicare health and prescription drug plan information for 2023.
You can also call to get help 24 hours a day, seven days a week with which plan would be best for you at 1-800-MEDICARE. Information is available in both English and Spanish, in addition to language support in over 200 languages. For one-on-one assistance enrollees can contact their State Health Insurance Programs.
There are three major “Parts” of Medicare:
How is Medicare structured?
- Part A: which covers hospital stays, skilled nursing, and hospice services;
- Part B: which covers outpatient services, most doctors visits, and most drugs that need to be administered by medical professionals; and
- Part D: which covers most “self-administered” prescriptions.
Original Medicare, Part A and Part B
Most retirees receive Medicare Part A coverage for free because they paid Medicare taxes throughout their careers over the 40 quarters required, equivalent to 10 years. Those who don’t qualify for free Medicare part A could pay between $278, the same as last year, and $505 a month in 2024, an increase of $1 over last year.
Medicare Part B premiums will see an increase this year after dropping for the first time in around a decade last year. The standard monthly premium will rise by $9.80 to $174.70 for 2024 from $164.90 in 2023 according to CMS. Likewise, the annual deductible for all Medicare Part B beneficiaries will be $240 next year, an increase of $14 from the previous year.
More Medicare Advantage Plans
Some seniors elect to add additional coverage for things like vision and dental through a Part C or Medicare Advantage plan. Medicare Advantage is a private plan alternative to Original Medicare. It provides additional health benefits to Part A and Part B under one plan. Those services can include eyewear, hearing aids and dental benefits, among other features. The number of people enrolled in the program climbed to 30.8 million in 2023, or 51 percent of Medicare’s roughly 60 million participants.
Since 2017 the average number of Medicare Advantage plans which enrollees can choose from has steadily risen. In 2023 there was a choice of 43 plans for the average beneficiary, up from 33 two years prior. The average monthly premium in 2024 for all Medicare Advantage is projected to increase by 64 cents to $18.50 per month. At the same time, in 2024 the average monthly Part D premiums are forecast to be around $55.50 a nearly two percent decrease from $56.49 last year.
Additionally, “thanks to the Inflation Reduction Act, people with Medicare Part D prescription drug coverage will continue to have improved and more affordable benefits, including a $35 cost-sharing limit on a month’s supply of each covered insulin product,” along with other additional savings informs CMS.
For the full scope of information regarding getting healthcare coverage through Medicare in 2024, the federal government provides an official handbook.
Important dates for Medicare
September & October
You will want to review your current plan as it may have changed and compare other plans that are available to see if they better meet your needs.
15 October
Open Enrollment begins, when everyone with Medicare can switch their health and drug plans for the next year.
7 December
Open Enrollment ends and your enrollment request must be received by the plan that you have chosen. For most this is the last day that you can change your Medicare coverage.
1 January
If you’ve chosen to switch your Medicare plan, the new coverage begins 1 January. If you don’t switch plans, any changes to coverage, benefits, or costs that have been announced will take effect at the start of the year.
Between 1 January and 31 March
For those in a Medicare Advantage Plan, you have the option to switch to another Medicare Advantage Plan or to Original Medicare during this period. Your Medicare Advantage Plan can be with or without drug coverage. For those who opt to change to Original Medicare, you’ll also have the option to join a Medicare drug plan.
The new coverage will begin the first day of the month after your enrollment form is received by the plan.
Special Enrollment Period
In certain cases, if you qualify, you may be able to make other changes in a Special Enrollment Period.