What will happen to beneficiaries who delay their Medicare enrollment past the designated periods?

Beneficiaries who delay their Medicare enrollment past the designated periods may face a possible higher premium in the future. This situation occurs primarily because Medicare has specific enrollment periods, including the Initial Enrollment Period (IEP), General Enrollment Period (GEP), and Special Enrollment Periods (SEPs). If an individual does not enroll during these periods and continues to delay enrollment without qualifying for an exception, they may be subject to a late enrollment penalty.

This penalty typically takes the form of a higher monthly premium for Part B or, in some cases, Part D. The increase in premium is calculated based on how long the individual delayed their enrollment, often resulting in a significant long-term financial impact.

Other options do not accurately reflect the consequences of delaying enrollment. Automatic enrollment does not happen if a beneficiary misses their enrollment periods; instead, they must take action to join a plan. Quality of services is not directly affected by enrollment timing, and losing Medicare eligibility is unlikely solely from a delay—it would require other factors such as not meeting eligibility requirements.