What is the Medicare Part D Late Enrollment Penalty?

You may incur a late enrollment penalty if there is a continuous period of 63 days or more at any time after the end of your Initial Enrollment Period (IEP) during which you were eligible to enroll in a Medicare Part D plan, but were not enrolled and not covered under any creditable prescription drug coverage.

A late enrollment penalty is an additional amount added to your monthly Medicare Part D premium. The specific cost of this fee depends on how long there was a lapse in coverage. You will be required to pay the penalty for the length of your Medicare prescription drug coverage.

Note: “Creditable coverage” is coverage as good as Medicare Part D coverage.

Return to the Medicare FAQ section to view more answers to other commonly asked questions about Medicare prescription drug coverage. For more information about the Medicare Part D late enrollment penalty, contact us at any time.