APRIL 6, 2020 – By CHRIS SMITH1
If you are turning 65, you are about to enter the often
confusing world of Medicare. You’ve been paying into it since
1965 through FICA deductions, and you might be surprised at just what you
bought. Medicare is a basic healthcare program that comes with “gaps” in
coverage that can cost you a fortune. That’s where UnitedHealthcare Medicare
Supplement plans (also know as Medigap) come into play.
How
UnitedHealthcare Medigap and Medicare Work Together for You
Medicare comes with deductibles,
copays, and coinsurance requirements that can quickly decimate
your retirement funds, particularly if you have a major medical event or suffer
from a chronic disease. UnitedHealthcare’s Medicare Supplement plans can
provide help in paying those bills that Medicare doesn’t cover. That can make
the difference between living on the financial edge and having complete peace of
mind.
Medicare Part A
Part A covers inpatient care when
you’re admitted to a hospital. Everyone who’s eligible for Medicare
is automatically enrolled in this “free” insurance coverage, which has no
premium. Part A also provides coverage for:
·
Home healthcare services
·
Skilled nursing facilities
·
Hospice care
Medicare Part B
Part B covers common healthcare
provider services such as doctor visits, lab work, and medical
imaging. In addition, Part B provides coverage for:
·
Outpatient surgery
·
Some durable medical devices
·
Physical and occupational therapy
·
Certain cancer treatments like
chemotherapy
Medicare Gaps in Coverage
The “gaps” in Medicare coverage are the deductibles and
portions of expenses that Original Medicare does not cover. Medicare is a basic
healthcare policy, but the gaps in coverage can put an individual in a risky
financial position without any supplemental coverage. Costs associated with
Medicare include:
·
Part A
deductibles. You will have a $1,408
deductible each time you are hospitalized. If you’re unfortunate enough to
require an extended stay, your first 60 days are “free,” but 61 to 90 days will
cost $352 per day, and over 91 days you will be charged $704 per day.
·
Part B
premium. This coverage has a monthly
premium (normally deducted from your Social Security check) of $144.60. You will
have to continue paying this premium whether you have supplemental insurance or
not.
·
Part B has
some pretty serious coinsurance, and excess charges. There is an annual deductible of $198. After you have
satisfied that, all other costs have a coinsurance cost of 20%. That’s 20% of
doctor visits, blood work, cat scans, outpatient surgery, and every other
approved medical service. Also, some doctors don’t accept Medicare assignment,
meaning they want more than what Medicare pays. Medicare allows these providers
to charge 15% as an excess charge. You are responsible for 20% of the approved
cost plus the extra 15%.
UnitedHealthcare
Medicare Supplement Plans and Benefits
UnitedHealthcare Supplement plans work directly with
Medicare to assist in paying for some, or all, of the costs that Medicare does
not. Medicare Supplement plans are
offered by private insurance companies. Medicare has authorized 10
separate “lettered” plans, each with different benefit levels.
UnitedHealthcare sells nine of the approved plans. It’s
important to know that if you buy a lettered plan from one company, it will
have identical benefits to any other company offering that lettered plan.
·
Generally speaking, a Medicare
Supplement plan will pay a percentage or all of a medical expense Medicare
doesn’t. That goes for deductibles and excess charges as well. So, if you have
a test that costs $1,000, Medicare will pick up $800 and UnitedHealthcare
Medicare Supplement plan will pay 80% to 100% of your share ($200), leaving you
with a net cost of $20 or $0, depending on the plan you choose. Selecting the
right plan out of nine choices really requires the assistance of a
UnitedHealthcare representative to ensure you have the coverage best suited for
your healthcare needs.
·
Like Medicare, with a
UnitedHealthcare Medicare Supplement plan, you can see any healthcare provider
that accepts Medicare. You don’t need referrals to see a specialist, and there
are no networks to deal with.
·
If travel is going to play a big
part in your retirement, your UnitedHealthcare Medicare Supplement plan is
ready to travel with you anywhere in the US or its territories. It also covers
emergency care in foreign countries.
·
And then there’s the world-class
UnitedHealthcare customer service. You can connect with a customer
representative from 8:00 am to 8:00 pm EST, seven days per week.
Like all Medicare Supplement plans, benefits are tied
directly to Part A and Part B. That means there’s no benefit for Part D
prescription drugs. You can purchase a Plan D policy (UnitedHealthcare offers
an affordable and comprehensive plan) to have complete healthcare coverage.
The
Cost of UnitedHealthcare Medicare Supplement Plans
While all companies that provide Medicare Supplement plans
calculate their own premiums, they have to be approved by insurance regulators
and Medicare to ensure affordability. UnitedHealthcare has some of the most
competitive premiums on the market.
There are three methods used in pricing Medicare Supplement
plans:
Community Rating
This method charges the same amount to all enrollees in a
state without regard to age or gender.
Issue-Age Rating
If you enroll when you first become eligible, this method
may be the best for you. It is based on your age at the time you enroll and is
not increased as you age.
Attained-Age Rating
This plan starts out with a low premium but then increases
each year as you get older.
It’s important to know some states restrict the type of
premium calculation used, so pricing can vary state to state.
Eligibility for UnitedHealthcare
Medicare Supplement Plan
Basically, if you are eligible for and enrolled in Medicare
Part A and Part B, you are eligible to apply for Medicare Supplement coverage
from UnitedHealthcare. However,
timing is important:
·
The best time to enroll in a
Medicare Supplement plan is when you first enroll in Part B. From
that point, you have a six month Guaranteed Issue rights—meaning you will be
eligible without regard to underwriting issues no matter what your health
condition is. If you continue working after 65 and have company-provided
healthcare, your initial Open Enrollment and Guaranteed Issue rights begin when
you actually retire and enroll in Part B.
·
If you have a Medicare Advantage
plan and the insurance company loses its contract with Medicare, or you
permanently move out of the company’s service area, you have Guaranteed Issue
rights to enroll in a Medicare Supplement plan.
·
Other than that, Medicare has an Open
Enrollment Period where you can change plans. However, health underwriting
considerations come into play and may affect your eligibility and premium cost.
How
to Enroll in a UnitedHealthcare Medicare Supplement Plan
UnitedHealthcare makes enrollment easy. Questions about
plans or benefits? Speak to a representative to get all your questions
answered. Representatives can assist you in selecting a plan that fits your
needs and budget and then walk you through enrollment online, on the phone, or
arrange a face-to-face meeting.
Next up, here’s how to be a good caregiver and take
good care of yourself, too.
No comments:
Post a Comment