Medicare 2026

Why Medicare late penalties can follow Savannah enrollees

SAVANNAH, Ga. — Missing a Medicare sign-up window can follow you for the rest of your life. The penalties for enrolling late in Part B (doctor visits and outpatient care) and Part D (prescription drugs) are not one-time fees. They get added to your monthly premium, often for as long as you have Medicare. The good news: with a little planning, most people can avoid them entirely.

Why these deadlines matter

Medicare is not fully automatic for everyone. If you're already getting Social Security when you turn 65, you'll usually be signed up for Parts A and B without lifting a finger. But if you're still working, delaying Social Security, or covered by another type of insurance, the responsibility to enroll on time is on you.

Miss the window without a good reason, and two things can happen: you may have to wait months for coverage to start, and you may pay a higher premium every month, for life.

How the Part B late penalty works

Part B covers doctor visits, outpatient care, and many preventive services. If you don't sign up when you're first eligible and you don't have other qualifying coverage, Medicare adds 10% to your Part B premium for each full 12-month period you went without it.

So if you waited three years past your eligibility date, your premium could be 30% higher — and that increase generally stays with you the entire time you have Part B.

Your Initial Enrollment Period is a 7-month window: the three months before your 65th birthday month, your birthday month, and the three months after. If you miss it, the General Enrollment Period runs Jan. 1 through March 31 each year, with coverage starting the month after you sign up.

How the Part D late penalty works

Part D covers prescription drugs. The penalty here works differently. Medicare charges 1% of the "national base beneficiary premium" for every month you went without Part D or other creditable drug coverage after your Initial Enrollment Period ended.

That amount is then added to your monthly Part D premium — and, like Part B, it typically stays there for as long as you have drug coverage. The base premium can change from year to year, so the penalty can rise over time.

The Part D annual out-of-pocket cap is $2,100 in 2026 and $2,400 in 2027, and the maximum deductible is $615 in 2026 and $700 in 2027. The old coverage gap, or "donut hole," has been eliminated as of 2025, so drug coverage now moves through three phases instead of four.

The exceptions that protect you

You will not owe a late penalty if you had "creditable coverage" — insurance that Medicare considers at least as good as its own. Common examples include:

• A current employer's group health plan (yours or your spouse's), if the employer has 20 or more employees.
• Union or retiree coverage that includes creditable drug benefits.
• TRICARE, VA benefits, or certain other federal coverage.

Your plan should send you a notice each year telling you whether your drug coverage is creditable. Save those letters — you may need them when you eventually enroll in Medicare.

When that other coverage ends, you get a Special Enrollment Period to join Medicare without penalty. For Part B, that window is typically 8 months. For Part D, it's usually 63 days.

What Savannah residents should know locally

Savannah is in Chatham County, where Medicare beneficiaries can compare Original Medicare, Medicare Advantage plans, and stand-alone Part D drug plans during each enrollment window. The number of plans available is set at the county level, so two people living just a few miles apart in different counties may see different options.

If you're not sure what you qualify for or when your window opens, Georgia's State Health Insurance Assistance Program (SHIP), known locally as GeorgiaCares, offers free one-on-one counseling. It's not tied to any insurance company.

Key dates to remember

• Initial Enrollment Period: the 7 months around your 65th birthday.
• General Enrollment Period for Part B: Jan. 1 – March 31.
• Annual Enrollment Period (Parts C and D): Oct. 15 – Dec. 7.
• Medicare Advantage Open Enrollment: Jan. 1 – March 31.
• Special Enrollment Periods: triggered by life events like losing employer coverage or moving.

Also worth noting: IRMAA, an income-based surcharge, kicks in for Part B and Part D premiums when a single filer's income tops $109,000 in 2026. That's separate from any late penalty.