For: People nearing 65, and their families

Medicare and the Marketplace

Why the Marketplace and Medicare don't mix, the few exceptions, and how to switch when you turn 65.

The short version

Once you have Medicare Part A or Part C, you can't get Marketplace savings, and in most cases no one can sell you a Marketplace plan.
Marketplace coverage does not end on its own when Medicare starts. You have to end it.
Turning 65 mid-year? A Marketplace plan can cover you until Medicare begins.
Delaying Medicare to keep a Marketplace plan can mean late enrollment penalties later.

Medicare and the Marketplace are separate

Once you have Medicare Part A (hospital insurance) or Part C (Medicare Advantage), you won't qualify for Marketplace savings.
A Marketplace plan doesn't lower your Medicare costs and can't stand in for Medicare Part B.
The Marketplace doesn't sell Medigap policies or Medicare drug plans.
Medicare has its own Open Enrollment, October 15 to December 7 each year.

Can you have both?

No. It's against the law for someone who knows you have Medicare to sell you a Marketplace plan, even if you only have Part A or only Part B.

If you want help with the costs Medicare doesn't cover, look at Medicare's own options: a Medigap policy, a Medicare drug plan (Part D), or a Medicare Advantage Plan.

The few cases where you can choose the Marketplace instead

A Marketplace plan instead of Medicare is possible only in a few situations:

You pay a premium for Part A. You can drop Part A and Part B and buy a Marketplace plan instead.
You're eligible for Medicare but haven't signed up, for example because you'd have to pay a Part A premium, or you aren't collecting Social Security yet.

Two things to weigh before skipping Medicare

If you don't sign up when you're first eligible, you may have to wait for the General Enrollment Period (January 1 to March 31) to join later.
In most cases you'll also pay monthly late enrollment penalties for Part B and Part D. They're added to your premiums and grow the longer you wait.

If Medicare's premiums are what's holding you back, Medicare has programs that help lower them. See the Medicare.gov link below.

Turning 65 in the middle of the year

You can keep a Marketplace plan until your Medicare starts. The key step: Marketplace coverage doesn't end on its own. Update your Marketplace application to end it, and you can report your Medicare start date up to 3 months ahead.

For example, if your Medicare starts May 1, you can update your application as early as February 1, and your Marketplace coverage ends April 30. If others in your household are keeping their Marketplace plan, confirm their plan after you submit the update.

Words in this guide

Sources

Written in our own words from these official pages, last checked September 30, 2026. Rules and dates can change, so confirm with the source before you decide.

HealthWise provides educational information only, not licensed insurance, financial, or mental health advice. For decisions about your own coverage, check with the official source, your plan, or a licensed professional.