Choosing how to get your Medicare coverage can be overwhelming. But luckily there is one small niche in the insurance world that is relatively straight forward and has one of the highest customer satisfaction rates in the entire industry! 80% of seniors report being satisfied with their Medicare Supplement coverage. According to AHIP Executive VP of Policy and Strategy Jeanette Thornton, that is because “it allows seniors to get the care they need from the doctors they prefer at an out-of-pocket cost they can afford.” In a nutshell, Medicare Supplements provide predictable coverage by filling in the gaps of traditional Medicare at a reasonable cost to the customer.
So, what is a Medicare Supplement?
A Medicare supplement complements original Medicare by protecting enrollees from additional health care costs and allowing them to choose their doctors, specialists, and hospitals that they get their care from. It picks up costs that are left behind by Original Medicare, such as deductibles and high coinsurances.
The most popular feature of a Medicare Supplement is the networks. Or maybe, the lack thereof. Because a Medicare supplement is actually a secondary insurance to Medicare itself, it piggy backs on the traditional Medicare network of doctors and hospitals. This means that with a Medicare Supplement, you can go to any doctor, any hospital anywhere in the United States that accepts Medicare. And, that is about 95% of all doctors and hospitals nationwide – without a referral!
Medicare supplements are offered by private insurance companies, such as United HealthCare, Humana, or Blue Cross Blue Shield, and are most often bought through local insurance brokers. They do have a monthly premium that can vary by age, location and the insurance carrier itself. So, it is important to shop around a bit, to be sure you are getting the best deal.
Is there anything a Medicare supplement doesn’t cover?
Medicare Supplements only pick up the costs that are left behind after Original Medicare approves a procedure. If Original Medicare doesn’t cover the procedure, then the supplement won’t pay either. The biggest gap, being prescription drugs. Prescriptions are usually covered by a separate Part D plan, for an extra cost.
According to David Walls, owner of Florida Medicare Broker, an insurance agency that specializes in the Medicare Market in Ocala Florida, “the average Part D plan in Florida costs between $20-$50 a month”. But he emphasizes not to judge a plan based on the monthly premium alone. What prescriptions are covered, and their copays when the prescription is filled can be the biggest variable.
David says, “A good broker will be able to show you your month-to-month cost of each individual prescription, and will be able to recommend an appropriate Prescription Drug Plan.”
Summary
Medicare Supplements still have some of the highest satisfaction rates of any kind of insurance. With their guaranteed renewable coverage, and affordable cost, seniors can have peace of mind about their financial security and physical well-being in their retirement years. All without sacrificing the doctors they love, and without breaking the bank.
