Medicare Supplement Premiums Increase.... Now What? August 9, 2019 11:54

Some Medicare Supplement premiums are going up about 15 percent (check your insurer) beginning Sept. 1. Companies released their new rate increases to its enrollees about two weeks ago. Insurance agents found out via an email informing of this huge rate adjustment.

Medicare Supplement premiums increase 

 

For those receiving the 15 percent rate increase or wishing to change their current Medicare Supplement plan, the Medicare Supplement underwriting rule begins when one has had their Medicare Part B longer than 6 months.

You do not have to wait until October to make a Medicare Supplement change. You can change your Medicare Supplement any time during the year. Medicare Open/Annual Enrollment is a time to change your Medicare Advantage plan or Medicare Part D Prescription Drug plan.

In April 2015, Congress passed legislation called “Medicare Access and CHIP Reauthorization Act of 2015” (MACRA) to help the medical industry by correcting the “Doc Fix” proposal and made changes to Medicare Supplement’s plans F and C which begin in 2020.

Those who are new to Medicare or wish to apply for a new Medicare supplement need to know that Medicare Plan F and C are available until Jan. 1, 2020. One might want to see what Medicare Plan G and N have to offer.

Let’s discuss the difference:

  Plan F: offers more benefits with higher premiums. Those who wish to enroll or currently have Plan F will not be forced to move because this change only affects newly eligible beneficiaries with effective dates of Jan. 1, 2020 and Medicare Plan F will no longer be available to those new to Medicare.

  Plan G: offer lower rates and the same Medicare benefits as Plan F except the Medicare Part B deductible is not covered and will be paid for by the enrolled Medicare beneficiary. Part B deductible for 2019 is $185 which is Plan G’s out of pocket.

  Plan N: generally, has lower premiums than Plan G with generally more out of pocket. There is a $20 co-pay for a doctor visit with $50 co-pay for emergency room. Part B deductible is not covered, and Part B excess charges are not paid for by the insurance company which Plan G includes. Plan N can have more out of pocket cost than Plan G.


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