Back to Plans C and F. Medicare has decided that beginning on January 1st, 2020 those plans will no longer be available to new Medicare beneficiaries. Turning 65 next year? Then that’s you. However, if you entered Medicare prior to January 1st, then Plans C and F will continue to be available to you. So, if you can no longer have Plans C & F, what will be the “best” plan then? Well, the most benefit-rich plan after January 1st will be Plan G. This plan requires that you pay the Part B deductible ($198/year in 2020) prior to the Plan picking up the balance of the 20% coinsurance, with Medicare paying the other 80% of Medicare covered services, as well as the Hospital deductible, etc.
The High Deductible Plan F has been a very popular plan that is also being retired. Many companies will begin offering the High Deductible G plan. Personally, I wish they would not use the term “deductible” as I think that’s misleading. HDG requires that you pay your Medicare cost share (Parts A & B deductible, 20% coinsurance and other costs) until you personally have spent $2340 out of pocket, at which time the insurance plan will step in and cover the balance. So your worst case catastrophic costs in one year will be no more than $2340 of Medicare covered services. It’s more of a cap on expenses than a traditional deductible. The premium is usually priced right, too. I think this is a very good option for beneficiaries that are enjoying fairly good health and would like a plan offering great flexibility with a monthly premium that won’t break the bank.
So there you have it. Don’t panic if you are currently enrolled in Medicare Plans C, F or HDF – you won’t lose your coverage. And for those of you entering Medicare for the first time after January 1st, you still have Supplement/Medigap Plans: A, B, D, G, K, L, M & N to choose from. Questions? Feel free to call, click or come in today. You’ll be glad you did! We give free advice and help you enroll in the plan of your choice. Don’t go it alone!