Modifications to Medicare Advantage Plans In 2010

Modifications to Medicare Advantage Plans In 2010

Beginning June 1, 2010, Medicare Advantage plans or Medigap added 2 new options to the beneficiaries: the Medicare advantage “M” and the “N” advantage. At the time, Medigap’s E, H, I and J plans were not updated because the benefits of preventive care and home recovery were removed because they were identical to other Medigap plans. Medicare believes these two benefits are not needed in current Medicare facilities. In addition to these changes, the new Hospice Care Benefit Co insurance coverage has been added to all new Medicare advantageal plans.

Currently, insured persons can maintain existing insurance plans, but as of June 2010 the registration to all existing plans has ended. The existing Medigap plans are divided into a single group and all the plans acquired after the month of June have been divided into new strategic groups. It was not necessary to buy a plan instead of another (just purchase the right plan) because all plans written after June 1 are included in the “brand new” plan. However, it is not known which advantage suppliers will offer the new N and M plans. Since most insurers offer more plans, it is imperative to look for the best price.

It is strongly recommended to consult an independent and qualified Medicare consultant as the agents employed by the company only offer their commercial plans. An independent consultant can help you find a plan today and suggest alternatives every time a new plan is introduced. For those who have reached the age of 65 years before June 2010, the independent consultant can provide services today and save time each year when new plans and rewards become available.

Design for New Medigap

The Medicare N Advantage has benefits similar to those of the additional Medicare D plan (and not F as others have suggested), but a $20 fee is charged for the medical examination and a $50 fee is charged for visit to the emergency room. This additional payment should be applied after the $ 135 deduction. However, there are some uncertainties as to how they will be deductible and co-payments. The good news is that these plans should generate premiums equal to about 70% of the cost of the F plan or about 77% of the current Medigap D plan. The Medigap M plan will also have similar benefits to the “D” advantage. Medicare, but will provide only 50% of the deduction from Part A, not deductible from Part B, but not from the joint payment. The cost of plan M is expected to be around 85% of the F or Medigap plan (or 92% of the current plan D).

Experts in the industry are optimistic about these changes as consumers are attracted to lower premiums. Unfortunately, these plans are designed by bureaucrats and academics who do not understand what consumers want. We are not sure that new plans are exactly what consumers want. These plans (M & N) do not include the excess of $ 135 or the excess tax allowed by many states. However, Medicare’s additional N & M plan should provide real savings for consumers.