Answer:
Yes, that is correct. If you did not enroll in a Medicare Advantage plan with Part D benefits or standalone prescription drug plan when you were first eligible for Medicare Parts A and/or B, or went without creditable prescription drug coverage, you may have to pay a late enrollment penalty.
Step-by-step explanation:
The late enrollment penalty is a monthly amount that is added to your Medicare Part D premium. The amount of the penalty is based on the number of months you went without creditable prescription drug coverage. The penalty starts at 1% of the national base beneficiary premium for each month and increases by 1% each year you delay enrollment.
There are a few exceptions to the late enrollment penalty, such as if you had creditable prescription drug coverage from an employer or union, or if you had certain health conditions that prevented you from enrolling in a Medicare Part D plan.
If you are unsure whether you owe a late enrollment penalty, you can contact the Social Security Administration at 1-800-772-1213.
Here are some tips to avoid the late enrollment penalty:
Enroll in Medicare Part D when you are first eligible.
If you lose creditable prescription drug coverage, enroll in a Medicare Part D plan as soon as possible.
Keep records showing when you had creditable prescription drug coverage so that you can prove it to your Medicare Part D plan.