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Medicare Supplement/Long Term Care
Questions and Correct Answers
Medicare Ans: A federal program of health insurance for persons
65 years of age and older, part of S.S., consists of 4 parts (ABCD)
Original Medicare Ans: Part A and Part B, because they were
enacted together to create medicare in 1965
Part A Ans: hospital insurance & pays for certain institutional
care (Home Health, Hospice, SNF). Federally funded through FICA
payroll tax. Premium Free and automatically enrolled for those
covered by S.S.
Part B Ans: Medical Insurance for outpatient and Physician visit.
Funded through federal tax revenues and premiums paid.
Automatically enrolled for those covered by S.S.
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Part C Ans: also known as Medicare Advantage Plans; managed
care coverage provided by private insurance companies approved
by Medicare. Added in 1997. Combo of A & B. Must be eligible for
both A & B. Pays premiums
Part D Ans: Prescription drug coverage, added in 2003, called
EXTRA HELP. Funded by tax revenues and premiums paid to
provider
Part B Late Enrollment Penalty Ans: 10% of premium for every 12
months that have elapsed since becoming eligible, Protects against
adverse selection
Initial Enrollment Period (IEP) Ans: seven-month period that
provides an opportunity for the individual to enroll in Medicare
Part A and/or Part B. Starts the first day of the 3rd month before
birthday and ends the last day of the 3rd month after the birthday
month.
© 2025 All rights reserved
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General Enrollment Period (GEP) Ans: enrollment period for
Medicare Part B held January 1 through March 31 of each year.
becomes effective July
special enrollment period (SEP) Ans: A currently employed
individual who is still insured under a group health plan when he
or she reaches age 65 can either enroll into Medicare while still
covered by his or her group health plan, or defer Medicare
enrollment until he or she retires. Once employer group health
coverage has ended, a retiree enters a Special Enrollment Period
(SEP) in which he or she has 8 months to enroll into Parts A and B
without being charged late Part A and Part B enrollment penalties.
Open Enrollment Period (OEP) Ans: Period between Oct. 15th &
Dec. 7th when beneficiaries can make changes to their coverage.
Working Beneficiaries with Group Health Plan also Ans: Employer
Plan is primary when there are 20 or more employees. Medicare is
primary when there are less than 20 employees.
© 2025 All rights reserved
Medicare Supplement/Long Term Care
Questions and Correct Answers
Medicare Ans: A federal program of health insurance for persons
65 years of age and older, part of S.S., consists of 4 parts (ABCD)
Original Medicare Ans: Part A and Part B, because they were
enacted together to create medicare in 1965
Part A Ans: hospital insurance & pays for certain institutional
care (Home Health, Hospice, SNF). Federally funded through FICA
payroll tax. Premium Free and automatically enrolled for those
covered by S.S.
Part B Ans: Medical Insurance for outpatient and Physician visit.
Funded through federal tax revenues and premiums paid.
Automatically enrolled for those covered by S.S.
© 2025 All rights reserved
, 2 | Page
Part C Ans: also known as Medicare Advantage Plans; managed
care coverage provided by private insurance companies approved
by Medicare. Added in 1997. Combo of A & B. Must be eligible for
both A & B. Pays premiums
Part D Ans: Prescription drug coverage, added in 2003, called
EXTRA HELP. Funded by tax revenues and premiums paid to
provider
Part B Late Enrollment Penalty Ans: 10% of premium for every 12
months that have elapsed since becoming eligible, Protects against
adverse selection
Initial Enrollment Period (IEP) Ans: seven-month period that
provides an opportunity for the individual to enroll in Medicare
Part A and/or Part B. Starts the first day of the 3rd month before
birthday and ends the last day of the 3rd month after the birthday
month.
© 2025 All rights reserved
, 3 | Page
General Enrollment Period (GEP) Ans: enrollment period for
Medicare Part B held January 1 through March 31 of each year.
becomes effective July
special enrollment period (SEP) Ans: A currently employed
individual who is still insured under a group health plan when he
or she reaches age 65 can either enroll into Medicare while still
covered by his or her group health plan, or defer Medicare
enrollment until he or she retires. Once employer group health
coverage has ended, a retiree enters a Special Enrollment Period
(SEP) in which he or she has 8 months to enroll into Parts A and B
without being charged late Part A and Part B enrollment penalties.
Open Enrollment Period (OEP) Ans: Period between Oct. 15th &
Dec. 7th when beneficiaries can make changes to their coverage.
Working Beneficiaries with Group Health Plan also Ans: Employer
Plan is primary when there are 20 or more employees. Medicare is
primary when there are less than 20 employees.
© 2025 All rights reserved
