Friday morning a client of mine called me with a very interesting concern. Recently he and his wife moved from a Medicare Supplement N Plan into a Medicare Advantage plan because of the extras that come with the Advantage plan.
In this particular instance he and his wife really wanted Dental Coverage. Often the reason to go with an Advantage plan (a.k.a. Medicare Part C) is upfront savings. These plans usually have no or very low premiums and in most cases have prescription plans already include in them.
In most states, you have a very big decision to make because their are health requirements to meet after your Initial Enrollment Period, the time when you first go on Medicare.
Simple. They pretty much cover all your medical expenses and allow you to go to any doctor or hospital you choose anywhere in the U.S. Plan F, G and N all pretty much cover all your bills if and when you enter a hospital. I call them “Peace of Mind Plans” because it’s nice to know you will have no bills when returning from a hospital stay.
The drawback?
Premiums or cost. These plans have much higher premiums than Advantage plans and they require you to purchase a Part D Prescription plan which also has an additional premium.
The New York Advantage.
In my state of NY you have options that people and other states do not have. Because of the Community Rating system, people can move in to a Supplement plan regardless of health issues. I coach my clients to use this to their advantage. They can switch in the Medicare Supplement plans AFTER they have received a diagnosis indicating the need for intensive medical treatments and possibly multiple hospital stays.
So back to the Friday morning conversation mentioned above. The gentleman that called was very concerned about the costs he might incur should he end up in the hospital. I told him the same thing I would tell anyone. If you feel like you are going to have a hospital stay and huge medical bills a Medicare Supplement is the answer.
I do hope this article was clear. If you have specific questions about your individual situations, please do not hesitate to call me.