Important Medicare Reminder:

How COBRA Coverage Affects Medicare Enrollment

If you are leaving an employer health plan and are offered COBRA coverage, it’s important to understand how COBRA works with Medicare eligibility. Many people assume COBRA allows them to delay Medicare enrollment, but that is not always the case.

If you are eligible for Medicare when you elect COBRA, or if you become eligible for Medicare while on COBRA, you generally still need to enroll in Medicare Part A and Part B within 8 months of losing your active employer coverage. This timeframe is known as your Medicare Special Enrollment Period (SEP).

COBRA coverage is not considered active employer coverage for Medicare enrollment purposes. Because of this, delaying Medicare enrollment while relying only on COBRA may lead to late enrollment penalties and potential gaps in coverage.

Another important point to remember is that the COBRA ending does not create a Special Enrollment Period for Medicare. If someone waits until COBRA ends to enroll in Medicare, they may have to wait until the Medicare General Enrollment Period (January 1 – March 31) to sign up, with coverage beginning later in the year.

This could result in months without health coverage.

If you are approaching Medicare eligibility or are considering COBRA after leaving an employer plan, MyCarePro can help you review your options and ensure you enroll in Medicare at the right time to avoid penalties or coverage gaps.

Client Q&A: Real Questions, Real Answers

Q: Jackie asks:
My husband and I are very healthy. We don’t have a COBRA option and can’t afford the premiums for an ACA plan. Is there something less expensive we can look at?

A: Elizabeth:
Great question—and you’re definitely not alone in feeling this way.

Yes, there are alternative options we can explore that may be more affordable while still providing protection in case something major happens. Depending on your situation, these options can also give you access to primary care and urgent care when you need it.

The right solution really depends on your needs, budget, and how you prefer to use your coverage. I’d be happy to walk through your options with you and put together a quote so you can see what might be a good fit.

Q: Laurie asks:
I signed up for my Medicare Part B, we completed an application for a Medicare Advantage plan, and I just got confirmation my Part B will start on time. You told me I would pay $0 for the plan—so why am I being billed $202.90 by Medicare?

A: Elizabeth:
I’m so glad everything came through on time—that’s great news!

You’re absolutely right that the Medicare Advantage plan we selected has a $0 premium. However, everyone enrolled in Medicare Part B is still responsible for paying at least the standard Part B premium to Medicare (Social Security/CMS). That’s what the $202.90 charge is for.

• The only exception is for individuals who qualify for certain Medicaid programs that may cover some or all of the Part B premium. Otherwise, this is a standard cost for all Medicare beneficiaries.
• The good news is that once your Part B is active, your Medicare Advantage plan will be in place as expected for the start of your coverage.
• If you ever have questions like this, don’t hesitate to reach out—we’re always here to help clarify things.