medigap rates Archives - Secure Medicare Solutions

Household Discounts for Medigap Plans

Medigap companies are always looking for a competitive “edge” in the market place.
One of the most recent trends is the inclusion of the household discount that most companies now offer. Although these discounts range from 5% to 12%, they can have a significant impact on which company is right for you.

The biggest change, in recent months, has been the inclusion of the discount for people who share a household with another adult, regardless of whether that other adult has the same insurance policy. In other words, you can qualify for the discount (with many companies), just based on being married or living with another adult. In year’s past, you would have had to both sign up for the same insurance company/plan. Now, that is not the case with many companies.

Some of the companies that offer some form of household discounts now include Mutual of Omaha, Aetna, Medico and Equitable to name a few. These discounts range from 5% to 12%, depending on the company and where you live.

As you may already know, Medicare Supplement plans are Federally-standardized. So for example, a Plan F with one company is the same as a Plan F with another company. Price and company reputation are the only differentiating factors between companies, so it is important to compare based on premium.

If you have not compared your Medicare Supplement coverage lately, it is a good time to do so. Not only is there the new revamped calculation of the household discount available through many companies, but there are also several newer, very competitively priced companies in the Medicare Supplement market. Several of these are large companies that have “repriced” their plans, while others are well-established companies that have ventured into the large and expanding Medicare market.

If you have questions about this or would like a quick quote via email, you can call us at 877.506.3378 or request information at Medigap quotes.

Medicare Supplement Rates – Why You Should Review Plans Periodically

Medicare supplement rates go up over time, just like rates with other types of insurance. Most companies increase rates each year on your policy anniversary date, while others do it annually with the calendar year. Others may have less frequent but larger increases. Regardless of when or by how much companies increase rates, the common thread is there – Medicare supplement rates go up over time. There is, unfortunately, no way around this. So, what can you do about it?

Well, first of all, it is important to understand that Medicare Supplement plans (also called Medigap plans) are completely standardized. The plans are the same regardless of which company sells the plan to you. In other words, if you have a Plan F, you can easily compare other Plan F option rates (from other companies) with the assurance that you are comparing “apples to apples”. This actually makes Medicare supplement rates the easiest to “shop” and compare.

Today, I spoke with a lady that was paying $210/month for her Medigap Plan F. For her age and zip code, the Plan F rates actually start at $148/month. She has had her plan for only 3 years, but she is paying almost $800 a year too much for her insurance, when she could easily get equivalent coverage and “pocket” the savings. Moreover, if she switched to Plan G (Find out why someone would/should do this), she could increase her net savings by another couple hundred dollars a year, all without sacrificing on coverage, claim payments, etc due to the standardization of plans.

Situations like the above story are an everyday occurrence. So many people – especially the Medicare market, frankly – prefer the “set it and forget it” method for insurance. However, this is a big mistake, particularly with a standardized insurance product with high price variability like Medicare Supplement plans.

So, what are the steps in comparing/reviewing rates to see if you can save money? Well, first of all, you should know what you have. Know what plan you have and what you are paying. You should be able to get this information by looking on your insurance card or policy and your bank statement. Next, contact an independent agent or broker that can help you compare plans in an unbiased way and provide you with a full comparison of the available options. We do that (Medigap quotes from SMS) but any agent that does business like us would be able to provide this information.

Next, you can review the quotes and make your decision (if there is a savings to be had, which there likely will be if you have had your plan for a year or more) based on price and, to a lesser extent, company rating/reputation. All you have to do is apply for a new plan with a future effective date (without cancelling your old plan). Then, once it is approved, you can cancel your old plan effective the same date that the new one will start and that’s it! You are all set and can “pocket” the savings.

If you have questions about this or how the process works, you can call us at 877.506.3378 or contact us online.

Household Discounts for Medigap Plans

Medicare Supplement Rates – Why You Should Review Plans Periodically

SCHEDULE PHONE CONSULTATION