Many railroad retirees receive Medicare benefits through the Railroad Retirement Board (RRB), similar to regular Social Security benefits; however, there are some significant distinctions between the programs; RRB manages Medicare for railroad retirees while the Social Security Administration oversees regular Social Security benefits.
Rail retirement benefit recipients typically find that they are automatically enrolled in both premium-free Medicare Part A and Medicare Part B coverage, unlike other recipients of Social Security who must actively enroll for Part B coverage. Individuals who opt not to join Part B will incur penalties, although you may be able to avoid them by signing up during a special enrollment period.
Current or former railroad employees can obtain information regarding Medicare benefits at any RRB field office. You may also visit their website, which features access to agency publications and resources that may help guide them through Medicare’s complex system.
Assuming you meet the basic eligibility requirements for Medicare Part A, as soon as you turn 65 you will automatically enroll into this program via RRB notification. If disability benefits due to ALS or ESRD* are approved then Part A coverage will also be automatically implemented regardless of any refusal of Part B coverage.
Once you become eligible for Medicare, you will have eight different Medigap plans from which to choose. Each one is designated with a letter representing its coverage; as of 2020 there is also a high-deductible version of Plan F that provides coverage for copays, coinsurance and deductibles for medical expenses.
Premiums for Plan F vary based on factors like your county and insurer; monthly premiums from Palmetto GBA for Plan F will differ based on these considerations and others such as community rating or issue/age rating/attained age rating.
Medicare beneficiaries looking to change their prescription drug coverage can do so during an annual open enrollment period from October 15 through December 7. Railroad Retirement or Social Security beneficiaries who collect benefits through the RRB can submit a request withholding Part D premium payments directly from their benefits payments; once approved, this deduction will occur on subsequent monthly payments. Those not collecting benefits through RRB should contact their local Social Security office in order to arrange coverage, withholding any applicable Medicare income-related adjustments from your benefits payments and any Part D premium deductions from them as necessary.