Three Things Every Senior Should Know About Medicare Open Enrollment

Medicare recipients can change or add Medigap coverage to their health care benefits at any time during the open enrollment period. This creates the opportunity to make a decision. Covered individuals try a plan as they decide whether it fits their needs. If an insured wants to change something, this is the time to do so. Besides the fact that this opportunity comes along only once, there are three important things to understand:

• Medigap insurance.
• When to buy it.
• Switching policies.

Medigap Insurance

Medigap insurance is supplemental coverage sold by private companies to help pay costs that Medicare does not cover. Some examples are copayments, deductibles, and coinsurance. Medigap plans are available for services such as medical care in a foreign land. The supplemental insurance pays only after Medicare pays its part.

To qualify for a supplemental plan, you must already have part A and part B through Medicare. Medigap policies are individual only. Both spouses may buy it, but the plans are separate. Customers pay monthly premiums.

You can buy from any company holding a license to sell Medigap coverage in your state. It is against the law for a provider to sell to a person who has a Medicare medical savings account. Prescription drug coverage is no longer available through the private sector. Retirees wanting to purchase it must sign up for Medicare part D (prescription drug plan).

Open Enrollment

Open enrollment is a six month period during which you can buy Medigap insurance. Medigap providers cannot deny coverage during this period. They must cover your pre-existing conditions and they may not charge you a higher premium because of your medical history. Someone looking to enroll who is a diabetic and has smoked their entire life can enroll in Medigap Plan F, and they will pay the exact same premium as an individual who has never smoked and is not a diabetic.

Open enrollment only happens once. It begins on the first day of the month you reach the age of 65 and are enrolled in Medicare part B. This is the best time to buy Medigap insurance.

Switching Medigap Policies

Medigap customers who are outside of the six month open enrollment period are not allowed to switch policies. During the six month window of time, switching is simple. Call the company selling the coverage you want. Arrange for a time to apply for it. When the application is approved, cancel the old policy.

The open enrollment period exists to provide you with enough time to make a decision. Use the once-in-a-lifetime opportunity to your advantage. Does the coverage you chose meet your needs? If not, try another one while you have the chance.