Top 3 Reasons to Enroll in a Medicare Supplement

By: Mark Mabaquiao

 

Last month, I wrote about the top three reasons to enroll in a Medicare Advantage plan. This month, I want to touch on the top reasons for getting a supplement. According to medicare.gov: “A Medicare Supplement (or Medigap) policy, sold by private companies, can help pay some of the health care costs that Original Medicare (Part A & B) doesn’t cover, like copayments, coinsurance, and deductibles.”

There are 10 types of supplement plans designated by a specific alphabet, A thru N. Depending on how much of the copayments, coinsurance, and deductibles you want covered will help determine which of the supplements you want to enroll in.

I find that most people I meet are familiar with supplement Plan F. This is not surprising since it is the most heavily marketed to consumers. When shown unbiasedly, most of my clients will determine that Plan G is their best option. A Plan G is less expensive than a Plan F and the only difference in coverage is the Medicare Part B deductible of $183.00 in 2017. The top 3 reasons to consider a Medicare Supplement are: 1. The Freedom: You have the freedom to choose your own medical providers so long as they also accept Medicare. You will not need a referral from your doctor and you do not have to worry about staying within a specific network.

2. The Experience: When you have medical expenses, Medicare will be billed first, followed by your supplement plan. When you have a supplement like Plan F or Plan G, you generally will have no or small out-ofpocket costs, which is a relief for many of my clients. This is a far cry from having to worry about copays and/or coinsurances with other types of Medicare plans.

3. Saving hundreds, if not thousands of dollars in outof- pocket medical costs: Yes, you read that correctly. You might save more money with a supplement compared to other types of plans even though the monthly premium with your supplement is higher. This is especially true for people with high medical expenses.