Different Insurance Companies Charge Different Amounts for the Same Coverage
Although Medicare mandates that all policies from medicare supplemental insurance companies be exactly alike according to coverage – A, for example – costs vary widely among companies.
Prices vary among medicare supplement insurance companies although none are advertised as being “discount” policies. While the benefits offered by all medicare supplemental insurance companies for the same type of Medicare Supplement Policies of the same type – type A, for example – will be exactly the same, the prices will vary according to your age and medical condition and you might not qualify if you have medical problems.
If you take out the Medicare Supplement Insurance coverage – also known as Medigap – during your open enrollment period, you have guaranteed coverage at the standard cost. This period begins the first day of the month you turn 65 and ends after six months.
During this period, medicare supplemental insurance companies are not allowed to charge you more than their base rate, issuance is guaranteed regardless of medical condition, you can keep the coverage forever if you pay your premiums timely, you won’t be charged a greater amount because of any health condition you have at the time or that you develop later, and your policy cannot be canceled for medical reasons.
You cannot buy a policy from a medicare supplemental insurance company unless you take Part B to Medicare – you get Part A automatically – and premiums will be taken out of your social security check for that premium. It is also required that you do not enroll in a Medicare Advantage policy. You still have an obligation to sign up for Part D – the drug coverage part – unless you are willing to be penalized if you decide you want it later. This is also within the open enrollment period.
The policies are allowed to go into effect the first of the month after the month you turn 65. They are not guaranteed to become effective on that date unless arranged for prior to three months before your 65th birthday. If ordered later, your coverage could be delayed.
That decision is entirely up If you have health issues at the time you retire, it seems it would behoove you to make a place in your budget for the premium and to sign up within the open enrollment period. You might want to compare your medical payments for the year before and proceed on the basis of whether or not it will be feasible for you. Additionally, www.medicare.gov and www.medicaresolutions.org/guaranteed_issues. html have great information to at least get you started.