Transitioning from ACA Plan to Medicare

[Ian S]

In one year, I turn 65 and will be going on Medicare. Currently, I'm on a subsidized ACA plan. I know that there is an initial enrollment period spanning a seven month period. It seems to me if I were to have exhausted my deductible under my ACA policy there could be an financial advantage to enrolling in Medicare toward the end of the enrollment period rather than when first eligible. I suppose it would depend on the difference in premiums and what medical procedures might be required during that few month period. Any thoughts on such considerations?

 

[Animorph]

In one year, I turn 65 and will be going on Medicare. Currently, I'm on a subsidized ACA plan. I know that there is an initial enrollment period spanning a seven month period. It seems to me if I were to have exhausted my deductible under my ACA policy there could be an financial advantage to enrolling in Medicare toward the end of the enrollment period rather than when first eligible. I suppose it would depend on the difference in premiums and what medical procedures might be required during that few month period. Any thoughts on such considerations?

Sounds like something I'll have to keep in mind, though I think my unsubsidized ACA premiums might outweigh the benefit of a paid off deductible.

 

[audreyh1]

Isn't the Medicare deductible like $147?

 

[meierlde]

In one year, I turn 65 and will be going on Medicare. Currently, I'm on a subsidized ACA plan. I know that there is an initial enrollment period spanning a seven month period. It seems to me if I were to have exhausted my deductible under my ACA policy there could be an financial advantage to enrolling in Medicare toward the end of the enrollment period rather than when first eligible. I suppose it would depend on the difference in premiums and what medical procedures might be required during that few month period. Any thoughts on such considerations?

Check to be sure the ACA plan does not terminate at age 65, as many do as do many employer plans. Not that the subsidies do stop at age 65 also.
So I suspect you need to enroll early. Also assuming you buy a medigap policy the part B dedcutable is about 150, and the medigap picks up the hospital deductable. Note that once you pay the $150 then part B covers 80% of costs and medigap pays after its deductable 80% of the 20%.

 

[Ian S]

Check to be sure the ACA plan does not terminate at age 65, as many do as do many employer plans. Not that the subsidies do stop at age 65 also.
So I suspect you need to enroll early. Also assuming you buy a medigap policy the part B dedcutable is about 150, and the medigap picks up the hospital deductable. Note that once you pay the $150 then part B covers 80% of costs and medigap pays after its deductable 80% of the 20%.

Good point. It looks like adding the cost of of the monthly B premium to the cost of a decent Medigap policy would still be less than my ACA plan costs so there would be little if any advantage to delaying Medicare even if it's possible.

 

[meierlde]

Good point. It looks like adding the cost of of the monthly B premium to the cost of a decent Medigap policy would still be less than my ACA plan costs so there would be little if any advantage to delaying Medicare even if it's possible.

If you go with a traditional medicare plan, then note that all hospitals are in network in the US, and the question on physicians is do they take medicare.
(A large part of hospitals business is medicare so they really have little choice in taking medicare)