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How to save on Medicare supplement plans

When choosing Medicare supplement plans, also known as a Medigap, make sure to compare their costs. All Medigap plans are standardized, they offer the same coverage, but the costs will vary depending on the insurance company offering them.

The American Association for Medicare Supplement Insurance(AAMSI) offers an online database with the contact information for Medigap insurance agents. The database is great tool to assist you in finding knowledgeable agents who will help you compare the costs of Medigap policies. When speaking with an insurance agent find out if they only sell policies form one company or from multiple ones.

When purchasing a plan, always inquire about “household discounts.” However, it is important to realize that not every insurance company will see you as qualified for a discount. Lastly, remember that you do not have to keep the same insurance plan every year. Make sure to compare the available plans each year, as insurance rates are subject to change.

How to Save Money and Lower Premiums on Medigap

Seniors living on a fixed income can feel frustrated with Medigap premium increases. Unexpected changes in Medigap rates can prove to be difficult to pay for. However, Medigap does offer multiple ways for seniors to save money and lower premiums.

When searching for ways to lower Medigap premiums, seniors can take advantage of household discounts. Check to see if your chosen Medigap carrier offers household discounts. For example, many carriers offer discounts if both spouses have a policy with the company. Savings of even five percent add up to a lot of money over the years. Furthermore, some companies offer this discount option to anyone living with another person, whether they are married or not even if that individual does not have a policy. It is worth asking about to see if you qualify to save money.

Another way to save money is to opt for Medigap Plan G. While Plan F has been the most popular, it is not always the best value. Plan G works just like Plan F, except that you pay the once-a-year Part B deductible ($183 in 2017). It is possible to find a Plan G that can save more than $183 in premiums and after you pay your deductible, you pocket the difference.

Shopping around for reasonably priced policies is the smartest way to go. And one area that you can likely save money is shopping for all broker prices in your market. This means that rather than just go with the big name, well-known insurance carriers (like United Healthcare or Cigna), ask about getting quotes from all carriers in your market area. Some lesser-known companies that offer good deals with the exact same policy coverage.

Recently high-deductible health plans have become trendy because they offer low premiums. What many people do not realize is that Medigap has a high-deductible health plan option — high Deductible Plan F. In this plan Medicare pays its share and you pay yours until you reach the plan deductible ($2,200 in 2017). Once you reach the deductible, the plan kicks in and pays 100 percent of your share for the remainder of the year. Premiums for this particular plan are exceedingly low, saving you hundreds of dollars a year.