HMO Guide for Seniors - Office of the Patient Advocate - State of ...

18 When You Retire
W
hen you retire, your health coverage usually changes. If
you have retirement health benefits, follow your employer’s
or union’s rules carefully so that you do not lose your benefits.
Enroll in Medicare Part B
Usually, you should sign up for Medicare Part B when you
retire, even if you have retirement health coverage. You have 8
months to sign up, starting with the month your employment
ends. If you wait, you may have to pay higher premiums.
Buy Medicare Part D if you don’t have “creditable” drug
coverage. Creditable coverage is coverage that is as good as
Medicare Part D or better. If you have drug coverage as a retiree,
your plan should tell you in writing if the coverage is creditable.
Ron retired at 66.
“When I was
ready to retire,
I called Social
Security and
enrolled in
Medicare Part B.”
If your drug coverage is creditable, you should keep it. If you
buy separate Part D drug coverage, you might lose all your
retiree health benefits.
If you do not have any drug coverage or your drug coverage
is not creditable, you should get Part D coverage. You should
buy it within 2 months after your employee health coverage
ends. If you wait, you may have to pay higher premiums.
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