Coverage: Part B helps pay for covered doctors’ services, outpatient hospital services, durable medical equipment, physical and occupational therapists’ services, home health care, preventive screenings and vaccinations. All services must be medically necessary to be covered.

Administration: The Federal Government administers Part B. The government works with private companies called Carriers to administer these benefits.

Enrollment: Enrollment in Part B is optional. You can enroll in Part B anytime during your Initial Enrollment Period. Your Initial Enrollment Period begins three (3) months before the month you turn age 65 and ends three (3) months after the month you turn age 65.

NOTE: If you miss your Initial Enrollment Period, there are two (2) subsequent enrollment periods for you to enroll in Part B:

• Special Enrollment Period – If you wait to enroll in Part B because you or your spouse are still working and have group health coverage, you can sign up for Part B anytime you are still covered by the group health plan, or during the eight (8) month period following the month that the group coverage ends.
  
  
• General Enrollment Period – If you don’t enroll during your Initial Enrollment Period and you are not covered by any other health plan, there is a General Enrollment Period that runs from January 1st through March 31st of each year. Your Part B coverage will start on July 1st of the year you enroll. There is a penalty of 10% per year on your Part B premium for every year you could have had Part B coverage but didn’t take it.

If you are turning age 65 and haven’t applied for Social Security or Railroad Retirement benefits yet, you can enroll in Part B when you enroll in your Part A benefits.

Some beneficiaries are automatically enrolled in Part B when they turn 65 if they are receiving Social Security or Railroad Retirement benefits. If this applies to you, your Medicare card will be mailed to you about three (3) months before your 65th birthday. If you don’t want Part B coverage, you must follow the instructions that come with your Medicare card to disenroll.

Cost: There is a premium for Part B coverage which most beneficiaries must pay. It is usually deducted from your monthly Social Security or Railroad Retirement benefit payment. Beginning in 2007, the Part B premium will become income-indexed. This means people with higher incomes will pay higher premiums. The Part B premium can change annually.

There is an annual deductible and coinsurance amounts you are responsible for under Part B, but you are allowed to purchase Medigap plans (Medicare Supplement insurance) to help supplement the deductible and coinsurance amounts. These deductibles and coinsurance amounts can change annually.