What to know

  • Active-employment group coverage may allow some people to delay Part B without penalty.
  • COBRA and retiree insurance are different from active-employment coverage.
  • HSA contributions require special attention before Medicare enrollment.

Start with the benefits administrator

Ask whether the plan is employer group health coverage based on current employment and whether it pays before or after Medicare. Do not assume that having an insurance card means Medicare can safely be delayed.

Know what does not extend the clock

COBRA can continue employer coverage after work ends, but it generally does not extend the Medicare Part B Special Enrollment Period. Retiree coverage may also expect Medicare to pay first.

If employment or job-based coverage ends, Medicare describes an eight-month Special Enrollment Period for Part B in many active-employment situations. Drug coverage timelines can be different.

Coordinate HSA decisions

Once enrolled in Medicare, you generally cannot continue contributing to an HSA. Medicare Part A can be retroactive in some situations when someone enrolls after 65, so people contributing to an HSA should get individualized tax and benefits guidance before applying.