Many Seniors become eligible for Medicare everyday. Many folks are unsure of when and how to transition from private or employer insurance to Medicare. What many folks don't realize is there are many options when it comes to choosing the right Medicare plan for you.

Applying for Medicare is the easy part. It is what you decide after that can be confusing. You will be faced with a decision to apply for a Medicare Supplement or a Medicare Advantage plan. Either of those choices brings many plan options to consider.  

Supplement plans (Medigap) pay secondary to Medicare and provide you with fewer out-of-pocket costs during the year. These supplement plans fill the gap. These plans can give you comprehensive medical coverage, but it is important to review the top Medicare Supplement companies that service you. These companies are private healthcare insurance providers, such as Aetna, United Healthcare, Cigna, etc. Those premiums will vary. It's important to understand how they operate.

Do I really need a Medicare Supplement Plan? 

It is important to understand that Original Medicare Part B only pays 80% of your approved outpatient services. That means that YOU are responsible for the remaining 20%, which can be costly.

A Medicare Supplement Plan (Medigap Plan) is a secondary plan that helps you with the out-of-pocket expenses that Medicare does not pay (the gap). Medicare Supplement plans give you full or partial help with copays, deductibles, and coinsurance in the exchange for a monthly premium.

And, Medicare Supplement plans do not have networks, so you can visit any doctor across the United States that accepts Original Medicare and receive healthcare services.  

How do I choose a Medicare Supplement Plan? 

The right plan for you comes down to your personal preferences and individual needs. However, below are two of the most popular supplements that we see.  

Medicare Supplement Plan G 

Plan G is a popular plan due to its comprehensive medical coverage. Beneficiaries with Plan G pay the annual Part B deductible and have 100% of the rest of their Medicare-approved services covered for the year. 

Medicare Supplement Plan N 

Plan N is another popular plan, similar to Plan G. Plan N tends to have lower monthly premiums, but with higher out-of-pocket expenses. With Plan N, you pay the yearly Part B deductible, excess charges, and copays for doctor and emergency room visits.

Medicare beneficiaries need to note that a Medicare Supplement plan such as Plan G will offer the same medical benefits and coverage regardless of the carrier chosen. The only difference will be the price.

How much are the Premiums for a Supplement plans? 

The cost is based on many different criteria such as gender, age, zip code, and tobacco use. The carrier chosen will also impact the cost. In a nutshell, the costs for a Medicare Supplement plan varies from person to person.

When can I apply for a Medicare Supplement plan?

There are a few things to keep in mind when considering a Supplement. 

Open Enrollment  

• If you are new to Medicare, your open enrollment period is the best time to apply for a Medicare Supplement. Medicare beneficiaries receive a one-time, six-month open enrollment period based on their Part B effective date. You can apply for a Medicare Supplement during this window with no health questions asked.  

Underwriting

• If you are outside your one-time open enrollment period, you will more than likely be required to undergo health underwriting when applying. If you need to undergo underwriting, you can either be approved, denied or charged a higher premium due to your pre-existing conditions. 

Changing Supplement Plans

• If you are already enrolled in a Medicare Supplement plan, but want to switch to a more cost-effective carrier, you can. You can shop for premium rates any time of the year. Most people shop their premium rates around their policy’s anniversary date. 

Compare your options 

Medicare Supplements are offered in all 50 states, but the plans you can pick from depend on your zip code and what plans the insurance carriers provide in your specific area. It is important to compare plans to determine what is best for your budget and health needs.

Key Takeaways

It’s important to feel confident in your Medicare Supplement choices. Care for Healthcare can help you shop the market and compare the many different plans available to you. We also can assess the carrier's financial ratings and average yearly rate increases. We will help you find the right plan for you.