Turning 65 in Maryland: Your Health Insurance Options

Updated July 2026 · MarylandPlanFinder.com — Licensed Health Insurance Producer (NPN #21249133)

Turning 65 marks a significant transition in your health insurance journey, as you become eligible for Medicare. In Maryland, understanding how Medicare interacts with other coverage options, such as those available through the Maryland Health Connection (the state's Affordable Care Act marketplace), is crucial for maintaining seamless and affordable healthcare. This guide will walk you through the key considerations, enrollment periods, and coordination strategies to ensure you have the right coverage as you approach and pass your 65th birthday.

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Medicare Eligibility and Enrollment Windows

Upon turning 65, most U.S. citizens and legal residents who have worked and paid Medicare taxes for at least 10 years (40 quarters) become eligible for premium-free Medicare Part A (hospital insurance). Medicare Part B (medical insurance) requires a monthly premium. The most critical period for enrollment is your Initial Enrollment Period (IEP). This 7-month window begins three months before your 65th birthday month, includes your birthday month, and extends three months after. For example, if your birthday is in July, your IEP runs from April 1st to October 31st. Enrolling in Medicare Part A and Part B during your IEP is vital to avoid potential late enrollment penalties, particularly for Part B, which can be permanent. If you are still working and have creditable employer-sponsored coverage (from an employer with 20 or more employees), you may be able to delay Part B enrollment without penalty. However, it's essential to understand these rules carefully to prevent gaps in coverage or unexpected costs.

Income and Eligibility for ACA Bridge Coverage

While Medicare is the primary path for individuals 65 and older, the Maryland Health Connection marketplace can serve as a crucial bridge for those not yet 65, or for spouses and dependents who are not Medicare eligible. Eligibility for subsidies (Advance Premium Tax Credits, APTC) on the marketplace is based on your household's Modified Adjusted Gross Income (MAGI) relative to the Federal Poverty Level (FPL). For 2026, APTC are available to households earning between 100% and 400%+ FPL, provided they don't have access to affordable, minimum value employer coverage, Medicaid, or Medicare. Maryland expanded Medicaid in 2014, so adults with income up to 138% FPL may qualify for Maryland Medicaid (HealthChoice). The table below outlines FPL thresholds for a single person and a two-person household, which can help determine potential subsidy eligibility for those who are not yet Medicare-eligible.
Household Size 100% FPL 138% FPL 150% FPL 200% FPL 250% FPL 400% FPL
1 person $15,060 $20,783 $22,590 $30,120 $37,650 $60,240
2 people $20,440 $28,207 $30,660 $40,880 $51,100 $81,760

Source: HHS 2025 Federal Poverty Guidelines (applied to 2026 ACA plan year for 48 contiguous states + DC).

Recommended Health Plan Tiers Before Medicare Eligibility

For individuals who are not yet 65 but need health insurance in Maryland, or for younger spouses and dependents, the Maryland Health Connection offers various plan tiers. The optimal choice often depends on your income, health needs, and expected healthcare utilization. Once you become eligible for Medicare, you typically transition off your marketplace plan.
Income Level (1 Person) FPL % Recommended Tier Monthly Net Premium Why
Under $20,783 Under 138% FPL Maryland Medicaid (HealthChoice) $0 Eligible for comprehensive state Medicaid coverage.
$20,783–$22,590 138–150% FPL Silver (CSR Tier 1) ~$0–$30 High subsidies & Cost-Sharing Reductions (CSR) reduce OOP max to ~$1,000.
$22,590–$30,120 150–200% FPL Silver (CSR Tier 2) ~$30–$100 Meaningful CSR reduces OOP max to ~$2,000; often better value than Bronze.
$30,120–$37,650 200–250% FPL Silver (CSR Tier 3) or Gold ~$100–$200 Some CSR still applies on Silver; Gold may be better if high expected use.
$37,650–$60,240 250–400% FPL Gold or HDHP+HSA Varies No CSR; Gold for robust coverage; HDHP+HSA for healthy individuals seeking tax benefits.
Above $60,240 Above 400% FPL HDHP+HSA or Gold/Platinum Varies Reduced or no APTC; HSA offers triple tax advantage; consider off-exchange options.

Net premium after APTC. Single adult, benchmark Silver reference. Actual premium varies by plan and specific circumstances.

Coordinating Medicare and ACA Coverage

The primary consideration when turning 65 is the transition to Medicare. Once you become eligible for Medicare Part A and B, you typically lose eligibility for premium tax credits (subsidies) on the Maryland Health Connection marketplace. This is because Medicare is considered "affordable, creditable coverage." If you continue to receive subsidies after becoming Medicare eligible, you may have to repay them at tax time. It is generally not advisable to keep an ACA plan with subsidies once you are Medicare eligible, as Medicare becomes your primary insurance. However, an ACA plan can be critical for:
  1. Bridge Coverage: If you retire before 65 and need coverage until your Medicare eligibility begins.
  2. Spouses/Dependents: If your spouse or dependents are not yet 65 and lose coverage when you transition to Medicare. They can enroll in an ACA plan through Maryland Health Connection, potentially with subsidies.
  3. Specific Situations: In rare cases, some individuals might coordinate specific types of coverage, but for most, Medicare replaces marketplace coverage.
Understanding your specific situation and enrollment timelines is key to avoiding gaps in coverage or penalties.

Health Insurance in Maryland: What Turning 65 Need to Know

Maryland operates its own state-based marketplace, the Maryland Health Connection (marylandhealthconnection.gov). This is where residents can apply for and enroll in ACA-compliant health plans, as well as determine eligibility for Maryland Medicaid (HealthChoice) and the Maryland Children's Health Program (MCHP). The marketplace offers a range of plan types, including HMO, PPO, and EPO options, allowing you to choose a structure that best fits your needs and preferred provider network. Maryland is a Medicaid expansion state, meaning adults with incomes up to 138% of the Federal Poverty Level can qualify for comprehensive, low-cost health coverage through Maryland Medicaid or HealthChoice. This provides a safety net for those with limited income before they reach Medicare eligibility. For those above Medicaid thresholds but not yet 65, the Maryland Health Connection allows access to subsidized plans, helping to manage healthcare costs during the transition period.

Enrollment Steps When Turning 65

Navigating the transition to Medicare or securing bridge coverage requires careful planning. Here are the key steps:
  1. Confirm Medicare Eligibility and IEP: Verify your Medicare eligibility and the exact dates of your 7-month Initial Enrollment Period (IEP) by visiting SSA.gov/medicare or calling the Social Security Administration.
  2. Assess Current Coverage: Determine if your current employer-sponsored plan (if any) is considered "creditable" by Medicare and if you can delay Part B without penalty. Consult your HR department.
  3. Enroll in Medicare: Apply for Medicare Part A and Part B through the Social Security Administration during your IEP to avoid penalties and ensure timely coverage.
  4. Evaluate ACA Options for Family: If you have a spouse or dependents under 65 who will lose coverage when you transition to Medicare, explore plans and subsidies through the Maryland Health Connection at marylandhealthconnection.gov.
  5. Coordinate Coverage Start Dates: Ensure there are no gaps between your old coverage ending and your Medicare or new ACA plan beginning.
A licensed health insurance agent can provide personalized guidance, helping you compare your options and enroll in the right plan for free, with no cost to you.

Frequently Asked Questions

When should I enroll in Medicare when turning 65 in Maryland?
Your Initial Enrollment Period (IEP) for Medicare Part A and Part B is a 7-month window: it begins three months before your 65th birthday month, includes your birthday month, and extends three months after. Enrolling during this window avoids late enrollment penalties.
Can I have an ACA plan and Medicare at the same time in Maryland?
Generally, no. Once you are eligible for Medicare, you are expected to enroll. You cannot receive ACA marketplace subsidies (APTC) if you are eligible for Medicare. An ACA plan may serve as bridge coverage before Medicare eligibility or or for family members not yet 65.
What are my options if I'm not yet 65 but my spouse is?
If you are under 65 and your spouse qualifies for Medicare, you can remain on an ACA plan through Maryland Health Connection. Your eligibility for subsidies will be based on your household income and lack of access to other affordable coverage.
What is the penalty for late Medicare enrollment?
If you don't enroll in Medicare Part B during your Initial Enrollment Period and don't have other creditable coverage (like employer group insurance), you may face a permanent late enrollment penalty. Your Part B premium could increase by 10% for each 12-month period you were eligible but didn't enroll.

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