Number 1 – Nothing is free. Every plan will have a cost. Medigap, or Supplemental Plans, will have a premium and very little cost afterward.
Advantage Plans don’t have a premium but you will have co-pays and co-insurance. Both accumulate during the year and add to your yearly out of pocket expenses.
Number 2 – In most states once your Part B starts you can choose a Supplemental (Medigap) Plan with no medical underwriting whatsoever. This is also known as guaranteed issue.
Number 3 – Drugs are typically where you’ll spend the most money. It recommended you get a Part D or drug plan. Even if you aren’t currently taking any medication things change as we age. You want to eliminate the risk of getting on some high cost medication.
Number 4 – Open enrollment doesn’t mean you can switch plans without any concern for the rules. There are rules you have to follow when switching different plans.
Number 5 – Initial premium is not the most consideration if you buy a Supplemental (Medicap) plan. Instead ask about the stability of rates the company is offering.
For more on this topic, see our Medicare Supplement plans page.
