Medicare & Senior InsuranceQuestion 212 of 716
The Part D late enrollment penalty is calculated as:
a.1% of the national base beneficiary premium per uncovered month, for life
b.Waived automatically once the beneficiary turns 70, and it stays waived for life
c.A one-time $200 enrollment fee collected by the drug plan at sign-up
d.10% of the beneficiary's own plan premium, charged for just 12 months
Explanation
The Part D late enrollment penalty is 1% of the national base beneficiary premium for each month the person went without creditable drug coverage after first becoming eligible, and it lasts for as long as the person has Part D.
Law Reference: 42 U.S.C. §1395w-113(b)This topic, taught in full in the California Life & Health Insurance Producer Exam guide. California Life & Health Insurance Producer Exam — Complete Study Guide (2026) — PDF + EPUB, $19.99 · 14-day refund →
Practice all 716 questions free — no signup required.
Own the complete California Life & Health Insurance Producer Exam guide — PDF + EPUB, $19.99 →
Related questions on this topic
- How long is the Initial Enrollment Period (IEP) for Medicare?
- The Annual Election Period (AEP) for Medicare Advantage and Part D plans runs from:
- What is the Part B late enrollment penalty for someone who delays signing up by a full 12 months without other creditable coverage?
- How many standardized Medigap plan letters exist under federal law?
- Which Medigap plan is no longer available to people first eligible for Medicare on or after January 1, 2020?
- How long is the federal Medigap Open Enrollment Period during which guaranteed-issue applies?
Last reviewed: · editorial process
PrepPass team · Verified against California Life & Health Insurance License Exam · How we review
Reviewed by John Zihao Zhang — California-Licensed Life Insurance Agent (CA Dept. of Insurance License #4396095 — verify)