The federal Centers for Medicare and Medicaid Services (CMS) has recently published a terrific FAQs sheet (Frequently Asked Questions) to help people understand the interplay between Medicare and the Affordable Care Act (ACA). take a look at http://www.cms.gov/Medicare/Eligibility-and-Enrollment/Medicare-and-the-Marketplace/Downloads/Medicare-Marketplace_Master_FAQ_8-1-14.pdf
Section 1882(d) of the Social Security Act makes it unlawful for anyone to offer or sell a health insurance plan to a person who is entitled to Medicare Part A or is enrolled in Medicare Part B. Depending on your status with Medicare, you may or may not be able to purchase a different health insurance policy through the Marketplace. These issues particularly affect the baby boomer generation who are getting into their 60’s. What are these different statuses? You may be on Social Security Disability but still waiting the 2 years before you can receive Medicare; you may be on SS Disability and also receiving Medicare; you may be receiving SS early retirement at 62 but paying premiums for Medicare part A and B, or not paying premiums and having no insurance; you may be over 65 and eligible for Medicare but still employed with a company that provides primary group insurance; you may be retired & receiving Medicare benefits, but wish to purchase a stand-alone dental plan through the marketplace; you may want to purchase a marketplace dental plan along with a Qualified Health Plan (QHP) before you reach age 65 and start receiving Medicare. The possible scenarios are many, and timing is critically important. You need to understand these complex rules and the timing issues as well.
Some people may want to see if a marketplace policy would be cheaper — in terms of premiums or deductibles or copayments — than Medicare. Be careful! If you are currently receiving Social Security Retirement Benefits or Railroad Retirement Benefits and you are also receiving Medicare Part A (which is premium-free Medicare), you cannot drop the Medicare and enroll in a private plan without losing all your retirement benefits and paying back Medicare. It’s a minefield out there.
For advice on retirement planning including estates, trusts, insurance and benefits issues, call 732-382-6070