Medicare Supplement Plans: Florida Medigap Options Terminated in 2019

In the Medicare Access and CHIP Reauthorization Act of 2015 (MACRA), Congress eliminated coverage of the Part B deductible. As the new law looms, Florida seniors brace for Medigap rate hikes.

Bullhead City, United States - November 4, 2018 /NewsNetwork/ —

Earlier today MedicareWire announced the launch of a free service that helps Florida seniors save money on their Medicare insurance, get the most coverage possible, and avoid costly Medicare penalties. Two of the most popular Medicare plans are being forced out of the insurance marketplace by new Federal law. The Medicare Access and CHIP Reauthorization Act of 2015 (MACRA) passed by Congress and signed into law on April 16, 2015 changed the law on various aspects of Medicare Supplement insurance (Medigap) policies. The new law states that on or after January 1, 2020, a Medicare Supplement policy that provides coverage of the Part B deductible may not be sold or issued to a newly eligible Medicare beneficiary.

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Florida seniors whose birthday is on or before December 31, 1954 are the last group eligible to purchase a Medicare Supplement Plan F policy. Medicare Supplement Plan C is another casualty and one of the closest alternatives to Plan F. Beginning January 1, 2020, you will not be able to enroll in Plan C, either, since it also covers the Part B deductible. Florida seniors can compare replacement plans at https://medicarewire.com/medigap/plans/florida/

The issue at hand is first dollar coverage. That’s where an insurance policy kicks in to pay its costs without the consumer paying a deductible, co-payment or coinsurance of any kind. For decades, seniors with a Plan F had full coverage on all health service approved by Medicare, and it’s costing the government millions of dollars and consuming valuable healthcare resources.

According to David Bynon, founder at MedicareWire, “Congress wants seniors to have more skin in the game. When they don’t have to pay their Part B deductible, many seniors make appointments to see their doctor or show up at the emergency room unnecessarily. Lawmakers hope that forcing beneficiaries to pay the Part B deductible will reduce unnecessary healthcare costs.”

If you already have a Plan F policy in Florida, you can keep it. The law only affects new policies. However, keep a Plan F policy in the future could be very costly.

“The change from 10 standardized policies to eight is going to cause a ripple effect that’s good for the insurance companies, but not for seniors, “ Bynon explains. “While the new law allows people enrolled in a Plan F to keep their policy, it doesn’t prevent insurance carriers from hiking rates to force seniors out. That’s why we’re offering our free service. When seniors see their rates hike up in January, we want to be there to help them find the best Medigap plan at the lowest rate.”

Most insurance experts agree that Plan G is a close second to Plan F. It covers everything that Plan F covers, except the Medicare Part B deductible. After January 1, 2020, Original Medicare combined with a Medigap Plan G policy will be the best coverage available.

The good news for Medicare beneficiaries buying a Medigap plan after January 1, 2020 is that the Part B (medical services) deductible is one of the smallest costs in the Medicare system. In 2019 the Part B deductible is $185 per year. Comparatively, the Part A (hospitalization) deductible is more than seven times that amount. Nearly all Medicare Supplements cover at least 50% of the Part A deductible, which in 2019 is $1,364 for each benefit period.

Bynon says that Plan G isn’t the only option available, and that healthy Florida seniors should also consider Plan N. “The benefit of Plan N,” the MedicareWire founder says, “is that it can save you a bunch of money in monthly premiums without a lot of financial risk. Plan N does not pay excess charges and it requires the beneficiary to pay up to $20 to see their doctor and up to $50 to use the emergency room. Other than that, everything that Medicare covers is paid. For healthy people, who infrequently see their doctor, this plan is very affordable.”

To research Medigap plan availability, costs and coverage, use the MedicareWire Medigap plan finder tool at: https://medicarewire.com/medigap/.

Contact Info:
Name: David W Bynon
Email: Send Email
Organization: MedicareWire
Address: 354 Meander Drive, Bullhead City, AZ 86442, United States

For more information, please visit https://MedicareWire.com

Source: NewsNetwork

Release ID: 432459