Medicare Supplement Plan
A Medicare supplement is often chosen by numerous Medicare policyholders to help fill in the gaps which Medicare does not cover. These gaps can include co-payments, co-insurance, and deductibles. They can also be used to cover medical care when traveling outside the United States. In order to purchase a Medicare supplement, you must already have Medicare parts A and B. Medicare pays their part (generally 80 percent of Medicare-covered benefits) and sends the remainder of the bill to the supplement provider which pays their part (generally 20 percent). Medicare supplements do NOT include prescription drug coverage (Part D, PDP). And for those that do not get a PDP when first eligible, there will be a penalty when they do get a PDP. There are exceptions to this. A Medicare supplement does not change year to year, although the cost does generally go up while the coverage does not change.
Medicare Advantage Plan
A Medicare Advantage plan works differently than a Supplement. With a Medicare Advantage Plan, a private company takes over for Medicare. You remain in the Medicare system, but Medicare is no longer responsible for your bills. These plans follow the same type of module as many group plans such as HMO or PPO. With this type of plan, it is important to remember several things. First, most Advantage Plans have Networks, so you want to make sure your Doctor, Hospital, and auxiliary care are within the network. Second, Advantage Plans have co-pays associated with them. It is important to be aware of these because they can add up to be quite a bit of money. Third, most Advantage Plans have the Part D “built-in” which is a nice bonus, but you must be aware that when switching to a Supplement from an Advantage Plan you will also need to add a Part D. Lastly, Advantage Plans typically have value-added benefits. These benefits vary between plans, but typical benefits include Health Club membership, limited dental, eye and/or vision.
It is worth noting that not all Plan D’s are the same. Although they are required to be at least as good as the Medicare model, they can vary greatly in costs, co pays and specific drugs that are covered. It is important to check which one suits you and continue to check each year because they (like Advantage Plans) do change every year.
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B & B Benefits is an independently owned and operated Medicare and health insurance agency committed to serving seniors at prices they can afford. Our insurance plans encompass Medicare, health, life, and so much more. With our superior attention to detail and customer service, we will do everything we can to make sure that you'll be satisfied to work with us. Call us today to learn more!
To request a consultation with one of our Medicare Specialists, please call (412) 366-6334 or fill out our form below and someone will assist you. We are located at 8101 Perry Hwy, Ste 105 in Pittsburgh, PA. If you feel that we are too far from you, we will come to you! Give us a call and we will schedule a meeting at your desired location.