How to Deal with Medicare Supplemental Rate Increases

Dealing with Medicare Supplement (Medigap) rate increases can be challenging, but there are strategies you can use to manage and possibly reduce your costs:

1. Understand the Reasons for Rate Increases

• Age-related Increases: Some plans increase premiums as you age.

• Inflation and Health Care Costs: General increases in healthcare costs can lead to higher premiums.

• Plan Pricing Structure: Community-rated, issue-age-rated, and attained-age-rated plans have different pricing structures that can affect rate changes.

2. Review Your Current Plan

• Assess Your Coverage: Make sure your current plan still meets your healthcare needs.

• Compare Costs and Benefits: Determine if the benefits you receive justify the increased premium.

3. Shop Around

• Compare Different Plans: Look at other Medigap plans to see if you can find a similar plan at a lower cost.

• Consider Different Insurers: Different insurance companies offer different rates for the same plans. Shopping around can help you find better rates.

• Call Me: I will look online for your county and let you know all the options and pricing. 208-544-5011. Lisa

4. Switch Plans

• Understand Your Rights: Know when you can switch plans without medical underwriting. The best time is during your Medigap Open Enrollment Period.

• Guaranteed Issue Rights: Under certain circumstances, you have guaranteed issue rights that allow you to switch plans without being denied coverage or charged higher premiums due to health conditions.

• Apply for a New Plan: If you find a better plan, apply for it. Be aware that switching may require medical underwriting outside of guaranteed issue periods, which could affect your acceptance and premium rates.

5. Consider High-Deductible Plans

• Lower Premiums: High-deductible Medigap plans have lower premiums, which can be beneficial if you don’t frequently use medical services.

• Higher Out-of-Pocket Costs: Be prepared to pay higher out-of-pocket costs when you do need care.

6. Explore Other Savings Options

• Discounts and Programs: Some insurers offer discounts for things like paying annually, using electronic funds transfer, or being a non-smoker.

• State Assistance Programs: Check if your state offers assistance programs for Medigap premiums.

7. Review Your Healthcare Usage

• Optimize Coverage: Ensure you’re not paying for coverage you don’t need. Adjust your plan if necessary.

• Preventive Care: Focus on preventive care to avoid higher medical costs down the line.

By taking these steps, you can manage and potentially reduce the impact of Medicare Supplement rate increases on your budget.