Medicare is a government-run health insurance program that offers coverage to seniors and people with disabilities. There are several different types of Medicare plans available, including Original Medicare and Medicare Supplement Plans. In this blog post, we will compare Original Medicare and Medicare Supplement Plans and discuss the benefits of each. We will also provide information on how to enroll in a Medicare plan.
Most Popular Medigap Plans
Plan G and Plan F are the most popular Medigap plans. If you have Original Medicare and you want prescription drug coverage, you would need to sign up for a Medicare Advantage Plan or a Part D Prescription Drug Plan.
Plan G covers all of the same benefits as Plan F, with the exception of the Part B deductible. This means that if you have Plan G, you would be responsible for paying the Part B deductible (which is $185 in 2020).
Plan F covers all of the same benefits as Original Medicare, plus it covers the Part B deductible. This means that if you have Plan F, you would not be responsible for paying the Part B deductible.
The N Plan is a Medicare Supplement Plan that covers some of the same benefits as Original Medicare. Also, it covers the Part B deductible. This means that if you have The N Plan, you would be responsible for paying the Part B deductible. You would also be responsible for a small copay and excess charges.
How Do I Choose A Plan?
Although there are several plans to choose from, comparing and contrasting Medicare Supplement Plans (also called Medigap) is relatively simple. The Centers for Medicare and Medicaid Services (CMS) has designed all Medicare Supplement Plans currently available. There are a total of 10 plans, and they are set up in a letter system ranging from “Plan A” to “Plan N”. All 10 Medigap plans are “Standardized“, meaning if you compared one particular letter plan, with another plan of the same letter offered by a different insurance company, the benefits would be identical. The only difference between companies is the price they charge.
For example, if you compare Medicare Supplement Plan F with any other insurance companies Plan F, the benefits are required by law to be the exact same. The only difference between plans offered by different companies is the price they charge. Some companies are misleading and make you think their plans are exclusive. Also, they are the only ones who offer that good of coverage. That is simply not true.
There are other factors you might want to consider when choosing a company. Remember as mentioned before, the benefits will remain the same for the different plans they offer. The companies ability to pay claims, and the level of customer service you receive should also be taken into consideration. (Note: most of your customer service should come directly from your insurance broker – like us!). Choosing a company with a strong financial rating will help ensure you are choosing a company that will remain stable and secure for the future to come.
Decision Time:
When deciding on a plan that works for you, keep in mind these considerations:
- Cost
- Coverage / benefits
- Convenience
- Whether or not you can choose your own doctors
- Insurance company stability / financial rating
- Who you will purchase the plan from
- The level of customer service you will receive
- Out-of-pocket expenses
Keep in mind that four Medicare Supplement Plans were eliminated as of June 1st, 2010 due to the Medicare Modernization Act. Those plans are: Plan E, Plan H, Plan I, and Plan J.
Do The Rates Change With These Plans?
Yes, the rates for all of the plans are set by each individual insurance company. The great thing about having “Standardized” plans is that you can compare Medicare Supplement Plans side-by-side and know that the coverage will be exactly the same with each plan, regardless of which company you choose. This makes it much easier to compare rates and choose the best plan for you.
The only time your rates can change is if:
You move to a different location (zip code)
You develop any health conditions that are considered “pre-existing”
Once you enroll in a plan, your rates are guaranteed not to increase due to your age or health condition.
Some companies offer what is called a “discount” for being part of an association or group. These discounts are not available to everyone, and sometimes the rates increase after the discount expires. If you enroll in a plan that offers one of these discounts, make sure you understand when the discount expires and what the new rates will be.
You can always change your plan if you find that your needs have changed, or if you are not happy with the company you chose.
What’s Next?
Now that you know more about comparing Medicare Supplement Plans, you might be wondering what the next steps are. The best way to find out which plan is right for you is to contact an insurance broker who specializes in Medicare. They will be able to help you understand the different plans and benefits. Also, they will help find a plan that fits both your needs and your budget.
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It’s nice that you pointed out how the best way to find out which plan is right for you is to call an insurance broker who specializes in Medicare supplemental insurance. I want to enroll my parents to Medicare but it seems there are quite a number of plans to choose from. I want to make sure that we’re choosing the correct ones so we should probably consult with a professional first.