Two common terms to refer to Medicare Supplement Insurance are Medigap Insurance or Medigap. The gaps in Original Medicare are filled by Medigap or Medicare Supplements. Medicare Advantage is not the same thing as a Medicare Supplement and the two should not be confused.
Learning now about the changes taking place on June 1, 2010 will have you better prepared to evaluate your current Medicare Supplement.
The new changes in Medigap or Medicare Supplement Insurance were put forth by the National Association of Insurance Commissioners. The purpose of these new rules was to protect consumers. The new Medicare Supplement changes remove duplicative benefits and add additional coverage.
The current supplemental Medicare plans have been in existence since the early 1990s and have become outdated. Many of the existing plans offered coverage from which the consumer received no benefit. The National Association of Insurance Commissioners NAIC felt that it was time for change.
The new Changes are as Follows:
1. Plans E, H, I and J will be eliminated
2. The Home Care benefit will be removed form Plan G and the 80% excess coverage is being incresed to 100%.
3. Two new plans named Plan M and Plan N will be created. These are lower cost co-pay plans.
4. Companies offering Plan A must also offer Plan C and Plan F.
5. Newly priced plans will be released which must include a standardized hospice benefit.
Originally it was thought that these changes would only affect certain plans and create some new coverage options for Medicare recipients. We now know that is not the situation. In addition to eliminating some of the old plans and creating new plans, all existing plans will be placed in a closed block.
New pricing will be available by all companies with these new plans. Meaning that companies no longer in the market will most likely get back in. More competition was the plan. Because of the new Hospice benefit all plans must be changed.
Changes taking place should benifit most consumers enrolling in Medicare for the first time. People with health problems may very well have to remain in the old plans. This means only older and sicker people will be in the old plans and cost will be on the rise.
Availble options should be investigated by all retirees as soon as possible. The existing Medicare agent would be a good place to start or they could try to find a new agent. The Internet is a great place to research Medicare Supplement Insurance.
Learning now about the changes taking place on June 1, 2010 will have you better prepared to evaluate your current Medicare Supplement.
The new changes in Medigap or Medicare Supplement Insurance were put forth by the National Association of Insurance Commissioners. The purpose of these new rules was to protect consumers. The new Medicare Supplement changes remove duplicative benefits and add additional coverage.
The current supplemental Medicare plans have been in existence since the early 1990s and have become outdated. Many of the existing plans offered coverage from which the consumer received no benefit. The National Association of Insurance Commissioners NAIC felt that it was time for change.
The new Changes are as Follows:
1. Plans E, H, I and J will be eliminated
2. The Home Care benefit will be removed form Plan G and the 80% excess coverage is being incresed to 100%.
3. Two new plans named Plan M and Plan N will be created. These are lower cost co-pay plans.
4. Companies offering Plan A must also offer Plan C and Plan F.
5. Newly priced plans will be released which must include a standardized hospice benefit.
Originally it was thought that these changes would only affect certain plans and create some new coverage options for Medicare recipients. We now know that is not the situation. In addition to eliminating some of the old plans and creating new plans, all existing plans will be placed in a closed block.
New pricing will be available by all companies with these new plans. Meaning that companies no longer in the market will most likely get back in. More competition was the plan. Because of the new Hospice benefit all plans must be changed.
Changes taking place should benifit most consumers enrolling in Medicare for the first time. People with health problems may very well have to remain in the old plans. This means only older and sicker people will be in the old plans and cost will be on the rise.
Availble options should be investigated by all retirees as soon as possible. The existing Medicare agent would be a good place to start or they could try to find a new agent. The Internet is a great place to research Medicare Supplement Insurance.
About the Author:
DJ is an expert in the arena of Medicare Supplement Insurance. For more informonion regarding Medigap Insurance reach DJ on his company website.
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