Is it possible to lower your Medicare Supplement (Medigap) monthly premium,?

If your Medicare Supplement premium seems to go up every single year, you may be wondering:

“Do I have to keep paying this much to keep my coverage?”

The answer may be no.

In some cases, you can lower your Medicare Supplement premium substantially without giving up the benefits you currently have.

The Same Plan Can Have Very Different Prices

Here's something many Medicare beneficiaries don't realize:

Medicare Supplement plans are standardized.

If you have a Plan G, for example, another insurance company offering Plan G provides the same standardized Medicare Supplement benefits.

But the premiums can be very different.

One company might charge $150 per month while another charges $220 for essentially the same standardized Plan G benefits.

That's why periodically comparing companies can be worthwhile.

Think of it like purchasing a car. Dealership 1 may have a Toyota Camry for $25,000 while dealership 2 has the same exact Toyota Camry for $26,500

Why Do Medicare Supplement Premiums Keep Increasing?

Insurance companies can raise Medicare Supplement premiums for several reasons, including:

• Rising healthcare costs

• Increased claims

• Inflation

• The company's pricing experience

• Age-based pricing, depending on how the policy is rated

And different insurance companies can have very different rate histories.

A company that was inexpensive when you enrolled may not remain inexpensive forever.

Can You Just Switch Companies?

Possibly, but there's an important catch.

In many states, after your initial Medigap Open Enrollment Period has ended, switching Medicare Supplement companies may require medical underwriting.

The new insurance company may ask health questions and determine whether you qualify for coverage.

That's why you should never cancel your existing Medicare Supplement before you've been approved for the new one.

Will I Lose My Benefits If I Change Companies?

If you're simply moving from one company's Plan G to another company's Plan G, the standardized Medicare Supplement benefits remain the same.

You're changing the insurance company and premium, not the standardized benefits of Plan G.

The same concept applies to other standardized Medigap plans.

What About My Part B Deductible?

Here's another common concern:

“If I switch Medicare Supplement companies in the middle of the year, do I have to pay my Medicare Part B deductible all over again?”

No.

The Part B deductible belongs to Medicare, not your Medicare Supplement insurance company. Once you've satisfied your annual Part B deductible, changing Medicare Supplement carriers doesn't just cause Medicare to start that deductible over.

Don't Automatically Choose the Cheapest Company

Price matters, but it shouldn't be the only consideration.

When comparing Medicare Supplement companies, I also look at things like:

• Current premium

• Rate increase history

• Available household or payment discounts

• Financial stability

• How long the plan has been in the market

• Underwriting requirements

Saving $30 or $50 a month is great.

But choosing a company solely because it has the cheapest introductory rate isn't always the best long term decision.

Already Have a Medicare Supplement? It May Be Worth Comparing.

You don't have to wait until Medicare's Annual Enrollment Period to look at Medicare Supplement rates.

Medicare Supplements don't follow the same October 15 – December 7 switching rules as Medicare Advantage and Part D plans.

Depending on your state, health and circumstances, you may be able to apply for another Medicare Supplement immediately, that starts on the first of next month.

Medicare Melanie can compare Medicare Supplement companies to see whether you're paying more than you need to for your coverage.

Sometimes the best Medicare decision isn't changing your benefits at all.

It's simply finding a better price for them.

Have Medicare questions?

Medicare Melanie is here to help.

Schedule your free appointment with Medicare Melanie today by calling

(904) 582 - 8067