Special Enrollment Period (SEP)

8 months, beginning when the employer group coverage ends or employment stops — The Part B Special Enrollment Period is an 8-month window that begins when the employer's group health coverage ends or when the person stops working — whichever comes first — and permits enrollment without a late penalty for those who delayed Part B while covered by active group coverage based on current employment. This SEP is separate from the 7-month Initial Enrollment Period around the 65th birthday and from the annual General Enrollment Period. The working-beneficiary SEP is the relief valve that keeps employees from paying penalties while they stay on employer coverage past 65.

National insurance concept

Involuntary loss of other creditable prescription drug coverage, such as loss of employer drug coverage — Part D Special Enrollment Periods are triggered by specific life events that justify enrollment outside the standard windows — most notably the involuntary loss of other creditable prescription drug coverage, such as losing employer-sponsored drug coverage, and relocating outside the plan's service area. An SEP allows the beneficiary to enroll in or change a Part D plan without facing the late enrollment penalty for the gap. Routine moves within a service area, coverage-neutral life changes, and provider changes do not create an SEP. The involuntarily lost coverage event is the SEP trigger the exam emphasizes.

National insurance concept