There are several those who feel that Medicare Supplement Insurance may be a waste of money. Here is why some people feel that to be true.
Original Medicare is a government-run medical insurance program for people aged 65 and older and for folks who receive social security disability benefits for at the very least 24 months.
Original Medicare, it’s been argued, is the better insurance plan in the usa and the best in the world. The premiums for Medicare Part A (hospitalization) are usually covered you (by the taxes you paid) and the Part B premium is just $110 per month for people newly getting Medicare in 2010.
Your share of costs for Original Medicare may also be relatively low. In the event that you go in the hospital for instance, each remain in the hospital medicare part b premiums is just $1,100 total for approximately 60 days. In the event that you visit the doctor or have tests done (such as an MRI), you normally only pay 20% of the Medicare Approved amount (an amount much lower than the “regular” or “customary” amount charged by most healthcare providers).
In addition to low costs, you’ve tremendous freedom in your access to health care. You can travel anywhere in the united states and find a doctor or hospital that will accept Medicare.
So the question is, if Medicare alone is such a great plan, then why on earth would anyone buy Medicare Supplement Insurance? A Medicare Supplement Plan can be an insurance plan sold by an exclusive insurance company. The objective of these plans would be to “fill in the gaps” left by Medicare. This is the reason these plans tend to be called “Medigap Plans.”
Following are three reasoned explanations why “The Case Against Medicare Supplement Insurance” should really be thrown out of court.
1. Guaranteed Insurability
When you initially qualify for Medicare (such as when you turn 65), you are “guaranteed issue” of a Medicare Supplement Policy. Generally in most situations, and in many states, you might be in the advanced stages of some dread disease and a Medicare Supplement company must sell you insurance at the most well-liked rate.
Also, after you do qualify for a Medicare Supplement Plan, you can never lose your coverage, provided that you pay your premiums.
2. Protection From the “Big Stuff”
If you have to pay a couple of dollar here or there for an xray, or a co-pay at your doctor, that is probably no big deal. But when you get into trouble, meaning if you get really sick, the first Medicare protection might not be as robust as you thought. $1,100 per stay at the hospital can add up rapidly, as can your share of expensive diagnostic exams.
The fact is, most of us don’t buy insurance for the little things, such as a ding on the car. But we do want insurance for when the “in the event” happens, such as a major car accident.
Medicare Supplement Plans are extremely affordable for some people. Around this writing for instance, a person turning 65 in Tarrant County, Texas can get a Medicare Supplement Plan F (a very popular plan) for a little more than $100 per month. A 70 year old female can get exactly the same Plan F for approximately $130 per month.
Not only is that very affordable, but moreover, it creates your wellbeing care costs very predictable. With a Plan F for instance, your only healthcare costs (apart from prescription drugs) is the price of your monthly Part B premium and your Medigap premium.