Medicare Part D Enrollment Penalty
Medicare will assess individuals who go without either Part D or other credible drug coverage for a Part D enrollment penalty. If they go for 63 days or more past their initial enrollment period without getting proper drug coverage. They can receive a penalty.
How much is the Part D penalty? The cost of the late enrollment penalty depends on how long you went without Part D or creditable prescription drug coverage. Medicare will calculate the dollar amount of the penalty based on the number of full months an individual went without coverage. Official calculation of the penalties are done soely by Medicare. The penalty is equal to 1% of the national base beneficiary premium ($34.10 in 2016) multiplied by the number of uncovered months and then rounded to the nearest $0.10. They will add this amount to your monthly part D premium. (Note: Since the national base beneficiary may increase each year. The penalty amount will also change accordingly.
The national base beneficiary premium may increase each year, so your penalty amount may also increase each year.
Please contact the office at 203-796-5403 or admin@CroweAndAssociates.com if you have questions or require additional information.