Medicare Supplement Plans 2020
Do you have the right medical insurance plan? If you are a Medicare subscriber, then you should know about Medicare Supplement plans. These insurance plans can fill in those coverage gaps you may have trouble paying for out of your own pockets. We are going to show you what Medicare Supplement plans for 2020 have to offer you.
We’ll cover the cost of this plans, the kind of expenses they take care of and how they compare to some other options. Once you take in this information, you should be able to make a smart decision as to whether you need one of these coverage plans are not. A lot of seniors do save money by adding Supplement plan coverage to what they already have or switching out their current plan for a Supplement plan. That’s why we think it is important that you know about these plans and what they have to offer you.
How Supplement Plans Work
You first need to know that Supplement plans will not work without Original Medicare. You have to have that basic Medicare plan, since Supplement plans are meant to work alongside the basic plan and fill in coverage gaps that it leaves for you. You cannot sign up for a Supplement plan and get covered by it without first having an active Original Medicare plan.
The two of these plans combined, however, provide you with some powerful coverage. They should take care of the majority of your medical expenses, if you chose the right plan for you. These can cover you for most every Medicare Part A and Part B expense, which includes your inpatient and outpatient expenses.
Supplement plans are available to anyone who already has a basic Medicare plan or who is considered a senior and is eligible for a Medicare plan. At age 65, you are typically eligible for these plans. The only thing that usually stands in the way of someone becoming eligible for a Supplement plan is if they don’t yet have basic Medicare or if they have a conflicting coverage plan, such as a Medicare Advantage plan or a medical insurance plan from their union or their employer. These can provide you with similar coverage that would overlap with the Supplement plan, and you will need to choose between one or the other.
Supplement plans are available through private insurance companies. These companies sell other types of medical insurance plans and may even sell other types of insurance entirely, such as life insurance or car insurance. They have to abide by Medicare’s coverage rules, and every Medicare Supplement plan follows the same coverage setup.
There are 10 Supplement plans in all, and they are divided into letter names. Plan F is the highest coverage one, with Plan G and Plan N offering similar high coverage. The way Medicare has set up the coverage on this plans means that you are guaranteed the same coverage no matter who you buy the plans from or how much you pay for the plans. What that boils down to is that every Plan F is the same regardless of the insurer or the price. Every Plan G is the same, offering the same coverage, no matter where you choose to buy it from or what medical conditions you may have.
What Medical Expenses Supplement Plans Cover
While each of the 10 Supplement plans is different, they all get their coverage from the same list. Some of them cover a lot of the items from the list, while others cover only a few things.
These are all expenses not already covered by basic Medicare, and they are medical care costs that you would be responsible for paying out of pocket, if you only had a basic Medicare plan.
The coinsurance costs are the most significant. These include the cost of hospice coinsurance, Part A coinsurance for hospital stays, Part B coinsurance for outpatient care and nursing care coinsurance. These are expenses you pay each time you go for treatment at a medical facility.
Deductibles are usually paid once a year, and there are two of them related to Medicare. They are the Medicare Part A deductible and the Part B deductible. The Part A deductible is covered by most of the Supplement plans, but the Part B one is only covered by a couple of plans. However, it is much smaller, costing hundreds of dollars less than the Part A deductible.
Excess charges related to Medicare Part B can also be covered by your Supplement plan. This is not a very common expense, meaning most people will not have to pay it. It really only occurs when you go for Part B services at a medical facility that does not fully accept Medicare. Only a couple of the Supplement plans will bother to provide coverage for this expense. With most of the plans, you will be responsible for covering that cost yourself.
Medicare Supplements can also cover you for pints of blood you use. This is an expense covered under basic Medicare, but Supplement plans cover the first three pints. Basic Medicare then steps in and covers the rest.
You can also be covered for foreign travel exchange. This is the cost of being transported to a medical facility that is outside the United States in the event of a medical emergency. It’s a good coverage item to have for those who live near an international border or those who travel often. Many of the Supplement plans will cover you for up to 80% of the cost of this medical expense, with a lifetime limit of $50,000.
These are the supplemental coverage items that could be included in your plan. Look them over and see what applies to you, and then you can find the plan that offers that kind of coverage to you.
Medicare Supplements Are Changing
The Medicare Supplement plans for 2020 are due to experience some changes from what seniors are used to. The plans are going to become more limited, and a couple of them will no longer be made available to new subscribers. If you are just signing up for Medicare Supplements in 2020, then you won’t have access to either Plan C or Plan F. These two high coverage plans will only be available to people who have already signed up for them in the past. Those people can renew their plans, but no new subscribers will be able to sign up for them.
The reason for this is simple. Medicare has noticed that these plans, because of their high coverage, are often listed with prices far above their similarly high coverage counterparts. These two plans offer coverage that no other Supplement plans does, which gives them a prestigious status, but it also makes them the target of ridiculously high prices. That saps the plans of their value and allows insurance companies to take advantage of seniors who don’t know how to compare plans and find the best deal.
So, Medicare is simply discontinuing these two plans for new subscribers. That simplifies what your options are and narrows the list of available plans down to eight for those who are just now signing up for Supplement plans.
You don’t have to worry that your choices will be severely limited and that you won’t be able to get high coverage insurance, though. You could sign up for Plan G or Plan N instead. These two high coverage plans are great alternatives to the often overpriced Plan F or Plan C. Plan G covers all the supplemental expense we listed above except for the Part B deductible. Plan N is very similar, and it covers all the supplemental expenses except that same deductible, the Part B excess charges and some minor copayments.
The Advantage Option
If you think that supplemental insurance may not be right for you and you want to explore some other options, when we suggest you look at Medicare Advantage plans. These also go by the name Medicare Part C, and they cover you for almost all of the same expenses as Original Medicare, plus more. The only Original Medicare expense they don’t cover is hospice care. They can also cover you for checkups, though, as well as Medicare Part D. If you get all that coverage in one plan, then you are pretty well set for medical coverage. You should have very little to pay out of pocket, which is why this kind of plan is called an “Advantage” plan. It offers some coverage advantages over other medical insurance plans.
Many of the Advantage plans come with a $0 monthly premium, so you pay nothing out of pocket initially. They are limited by the insurer’s network, though, so you have to be careful about that and ensure that you are near a network hospital or doctor’s office before you sign up with an insurance company.
Advantage plans offer substantial coverage for medical expenses, and they overlap with Supplement plans, which means that you can’t be signed up for both at the same time. You will have to decide which of these works better for you or if you need something else entirely.
Compare Supplement Plans to Save Money
We want you to get the most affordable medical insurance plan that you can. That means that you take time to look at your options and compare them to one another. You should look at the prices being charged for them and the coverage that they provide. See how those compare to your finances and your medical needs. You want the most suitable plan, and it could very well be that one of the Supplement plans will fit you very well.
Even if you have already signed up for one of the Supplement plans in past years, you can still benefit from looking at what is available. It could be that with the changes coming down the line for this set of plans that you would benefit from a different plan. That’s especially true if you have signed up for Plan C or Plan F. These plans are entering what is known as a closed risk pool, and that means that no new subscribers for these plans will make them increasingly expensive. While you may be guaranteed renewal options, you are not guaranteed a low price, and you may be much better off with one of the other Supplement plans.
Medicare Supplements have been saving seniors money for years now, and even as the plans change and your options become more limited, there are still some great options among the line-up. Know that not every insurance company is going to offer all of the available Supplement plans, so you may have to do some looking around to find the right plan for you.
The best way to find a good plan for you and to ensure that you save as much money as possible is to compare the plans and the rates being charged for them. Once you figure out which plan covers your medical expenses fairly well, you then need to find the cheapest version of the plan.
Remember that with Supplement plans, the coverage stays the same regardless of other factors. You can choose Plan G as your coverage plan and then compare prices on that plan to find out who has the cheapest one. You can use a price comparison service to see the rates being charged for a few different Plan G’s. This lets you see how the different insurance companies compare. It’s much faster than trying source the rates yourself and going to each insurance company individually. You can find multiple rates in one search using a price comparison service.
This free service can save you money by showing you how the different insurer’s compare and the rates they have set for their plans. Choosing the cheaper version of Medicare Supplements plans 2020 has to offer can save you hundreds or even thousands of dollars. The more quotes you compare, the better your chances are that you will get a great deal. We recommend you spend some time comparing Supplement plans and providers to save as much as you can.