Whether you are turning 65 or have been on Medicare for a long while, choosing a Medigap policy can seem like a very difficult task. Medicare is one of the most confusing thing is that seniors have to deal with however this process does not have to be hard.
Turning Age 65
There are a few things to keep in mind if you are turning 65. If you are drawing a social security check you will automatically be enrolled in Medicare part A and part B. You will be sent to your cards approximately three months prior to the first day of the month you turn 65. This is also the day that your coverage goes into effect, not on your birthday. You’ll also receive a card asking if you choose to opt-out of part B Medicare coverage. You cannot get a Medigap policy if you do not have part A and part B.
There are 10 different Medigap policies that are available and they are lettered A through N. Despite so many choices most people turning 65 choose to go with a Medigap plan F or plan G. Medigap plan N is also a great choice.
Medigap plan F
Plan F is extremely popular due to the fact that it covers 100% of the gaps in Medicare. There are no deductibles, no co-payments, and no coinsurance to pay. It is nice that you take your Medicare card and your plan F card to any Doctor, specialist, or hospital in the United States that accepts Medicare and you will never receive a bill for anybody care approved expenses.
Along with this great coverage however, is a larger premium than the other plans. And while every Insurance Carrier who offers plan F must offer identical benefits, they all have different premiums for the same coverage.
Medigap plan G
Another plan that is becoming increasingly popular among those on Medicare it is Medigap plan G. This plan is identical to plan F except for one small difference. That difference is who pays the annual part B deductible each year. Prior to Medicare paying any of your bills someone must pay $147 in the form of a deductible. Because Medigap plan F pays 100% of the gaps with this plan that deductible is paid for you. On a Medigap plan G you must first pay the part B deductible out-of-pocket prior to Medicare paying 80% of your medical bills. The benefits however to plan G is that your but the premiums are lower than plan F. As well bad a gap plan G averages lower annual rate increases than plan F.
Changing a Medigap Policy
It is not uncommon to change your Medigap policy several times throughout your time on Medicare. This is because all the carriers offer identical coverage and they also have rate increases typically once per year. Therefore if you do get a rate increase we can shop the premiums to see if there are lower rates with a different company. Many people find that after being on Medigap plan F for a few years the savings of plan G is much better therefore they switch.
Choosing the right Medigap policy becomes easier with the help of an experienced, independent agent who has access to the top companies. Because our agents do not work for any one particular company they can offer you great advice when it comes to shopping the rates and comparing the different plans.
Using our free, online quote engine you can easily get instant rates from the top carriers in your area. Just enter your zip code below.