4 Things You Should Consider Before Buying Medicare Supplemental Insurance


September 16, 2019

The older people become, the higher their health care costs climb. In fact, a Washington Post article reported that in just one year, seniors could withdraw as much as $3,789 each from their retirement savings and nest eggs to pay for medical bills. After retirement, many seniors rely on Medicare to provide health insurance coverage. However, it will not cover all the necessary medical expenses they may have. Because of this, many may choose to seek out Medicare supplemental insurance. Before you take the plunge, here are four things you need to consider first.


​1. The Overall Cost of the Plan


Like any other type of health insurance coverage, your Medicare gap policy may feature several options. The more options you add to your policy, the more expensive it becomes. One of the biggest cost factors is how much choice you have when it comes to the services available to you and selecting your own providers. Your deductibles and copay will also affect the overall cost of your supplemental plan.


2. The Available Provider Plans


How much freedom you have to choose your own doctors comes down to the type of plans available to you. While health insurance does not prevent you from seeing particular doctors, it does decide which doctors it will pay for. If you developed a relationship with a particular doctor and plan to keep seeing them, consider choosing a healthcare provider plan where the choice is up to you, or find out from your provider if they belong to an HMO or PPO network. Otherwise, you may need to choose a doctor from the networks provided by your insurance carrier.


3. Prescription Drug Benefits


As you get older, you may find yourself in need of more medication. Doctors may prescribe these to treat pain or manage specific illnesses. Over time, the costs of these add up, particularly because they may be a recurring expense. Prior to 2006, you were able to purchase prescription drug benefits under a Medigap policy. Unfortunately, Medicare.gov states that 
this is no longer allowed. However, you may enroll in Part D of Medicare to receive assistance with this. This is offered through private companies.


4. Any Additional Benefits


Do you need any additional health benefits not usually included in a Medigap policy? Common examples are dental, hearing, vision and X-rays. If you have an impairment or illness that relies on any of these services, you should ensure you add them to your policy, but note that the cost may increase. Some companies also provide plans for people living with special needs, chronic conditions or who live in facilities.
 
Getting coverage to fill the health care gaps Medicare leaves behind may help you to sleep more soundly. For many Californians, this is coverage they may have to seek out on their own. However, some employers do provide extended health care benefits to retirees to cover their Medicare gaps. Note that you become eligible for Medigap insurance after you turn 65.
 
As a trusted Medicare Broker in Santa Rosa, we hope you will look to Sackett & Associates Insurance Services for your insurance needs. Contact us 707-823-3689 for more information.


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