2020 Study Reveals Which Medicare Supplement Insurance Plans Seniors Buy
Seniors turning 65 face a rather daunting task: choosing a Medicare insurance plan that fits their current needs and budget. What makes the decision more difficult is the fact that the choice may also need to meet your future needs. Predicting the future, which could easily be 20 years, is never easy.
What makes the process even more difficult is that at the end of 2019, Medicare changed the rules. The most popular Medicare supplement plan option, Plan F, would no longer be available to new enrollees in the future.
For years, many insurance agents tried to simplify the decision for consumers by letting them know that Plan F, or the high-deductible version of Plan F, was clearly the most popular option.
That’s why the first analysis of Medicare supplement insurance purchasing patterns can be helpful. For the sake of clarity, Medicare Supplement is often called Medigap.
One of the main advantages of a Medigap policy is the ability to use any medical professional who accepts Medicare. Medicare Advantage plans offer many attractive benefits; often a low-cost or no-cost option is what is highlighted in television ads. That being said, these plans may have specific carriers and other limitations that make comparisons vital.
The first analysis of new 2020 Medicare enrollees who selected Medicare Supplement found that Medigap Plan G was the overwhelming choice. About 66 percent of people chose this option. Plan N was the second most popular plan option with 18 percent of new applicants.
According to the American Medicare Supplement Insurance Association, which published the findings, Medigap Plans A and B were selected by two (2) percent of new enrollees. Balance assigned your choices to other available plans. Massachusetts, Minnesota, and Wisconsin have a different set of standardized plans, through a federal waiver.
Two valuable resources can help seniors find the best Medicare supplement plan options. The first is a report that shows both the lowest and highest cost. The Medicare Plan G Price Index lists rates for men and women turning 65 and reports prices for major cities across the country.
Rates can differ significantly. Often, virtually identical coverage can cost twice as much. Furthermore, no insurance company always had the lowest cost, and likewise, no insurer consistently had the highest cost.
The second resource is an online directory that lists local Medicare insurance agents by zip code. The directory is free to use and completely private, allowing consumers to view agent information without having to enter any personal information. Many of the agents can offer advice on all Medicare options, including Medicare Advantage, Medigap, and Medicare drug plan options.
Established in 2000, the American Association for Medicare Supplement Insurance is an advocacy and information organization that strives to increase awareness of the many Medicare insurance planning options and supports insurance professionals who market Medicare insurance. Medicare.