There is a lot of information about elderly health insurance out there, and it can get a little overwhelming. We have found the essential things you need do know before deciding whether to get a Medigap or Medicare Advantage policy.
Medicare Advantage must cover everything that Original Medicare covers, however since MA plans are not standardized each provider may cover your costs differently. You are still responsible for copays, coinsurance, and most times a deductible. Medicare Advantage plans work like an HMO/PPO with a local network but may add extras like prescription drug coverage, dental, and vision. Sometimes Medicare Advantage will even pay for your Part B premium.
Medicare Supplement insurance, AKA Medigap, are federally standardized plans that work with Original Medicare. Medigap keeps Original Medicare’s large, nationwide network of doctors and hospitals. Medigap has a separate monthly premium because it can cover Original Medicare’s coinsurance, copayments, and deductibles. More comprehensive plans also offer coverage for services that Original Medicare does not cover, like medical care for foreign travel emergency care.
This really depends on your budget. If you have a low-fixed income, Medicare Advantage might be the right choice for you, but remember you want to weigh your out of pocket costs for copays and deductibles, as well as potential limits put on your plan before making your decision. On the other hand, with Medicare Supplement insurance you will have the greatest financial protection against major health issues but will pay a heftier premium. With Medigap you just really want to consider if you are able to afford the monthly premium.
It is important to remember that after your initial enrollment you can switch from Medigap to Medicare Advantage, but most likely you will NOT be able to switch from Medicare Advantage to Medigap.
For further questions about Medicare Advantage or Medicare Supplemental call the number above or click here if you want to get a Medicare Insurance quote.