Here’s everything you need to know about Blue Cross Blue Shield Medigap plans, such as:
Medicare Supplement Benefits
Original Medicare Part A and B only cover a specific portion of your health insurance expenses. Medical expenses such as deductibles, copayments and coinsurance are not covered by Part A and B, meaning you could end up with thousands of dollars in out-of-pocket medical bills should you need a serious procedure. This is where Blue Cross Blue Shield Medigap plans come into play. Medigap plans are standardized and endorsed by the Center for Medicare and Medicaid Services (CMS). Blue Cross Blue Shield offers seven Medigap options, including Plan A, F, G, K, L and N. Note: Enrolling in Plan F was only offered through the end of 2019. Starting January 1, 2020, new enrollees will no longer be eligible to enroll in Plan F. You can expect to receive the following Medigap coverage offered by Blue Cross Blue Shield: **Enrollment in Plan F has been discontinued starting January 1, 2020. Depending on your state, many Blue Cross Blue Shield plans offer additional coverage options, including dental and vision, fitness and prescription drug plans. Each of these plans comes with a separate premium and can be added at the time you enroll in a Medigap plan of your choice.
Medigap Costs
Medigap plans are standardized federally, meaning Plan A Medigap will provide the same coverage, whether you’re in Arkansas or California. What can differ, however, is the premium cost associated with the plan you choose. Each health insurance company can set its Medigap premiums. Determining factors for cost are based on how your plan is rated. There are three rating systems for Medigap plans:
Community no-age-rated plansIssue-age-rated plansAttained-age-rated plans
Community No-Age-Rated Plans
These plans offer the same premium price for all members, regardless of age. Your premium will not increase the older you get.
Issue-Age-Rated Plans
As the name suggests, plans that fall under this category come with premiums based on your age at the time of enrollment. Premiums under this plan do not increase as you age.
Attained-Age-Rated Plans
While this option is initially the least expensive, your premium will increase as you age, making it the most expensive option over time.
Eligibility
Now that you know which Medigap plans are available, let’s determine when you are eligible to enroll. Similar to Original Medicare, you are qualified to enroll in Medigap during your open enrollment period. As long as you enroll during your open enrollment period, you have guaranteed acceptance into the Medigap plan of your choice, no health questions asked. If you pay your monthly premium on time each month, your Medigap plan automatically renews. When are you eligible? Your Medigap Open Enrollment Period begins the first day of the month you turn 65 and/or sign up for Part B coverage and continues for six months. If your birthday is in May, you have May, June, July, August, September and October to sign up. If you plan to work and receive health insurance through your employer, you can delay applying for Medicare Part B and Medigap until you begin receiving retirement benefits. Once your employment ends, and you start collecting retirement, you have eight months to enroll in Medicare Part B but only six months to enroll in a Medigap plan. If your job ends in May, you will have May, June, July, August, September, October, November and December to apply for Part B but only May, June, July, August, September and October to enroll in Medigap. This is known as your Medigap Special Enrollment Period. During your enrollment period, you are guaranteed acceptance into the Medigap plan of your choice, even with preexisting conditions. If you choose to sign up for a Medigap plan after this period, health insurance companies will ask you to report on health questions and may deny your application.
How to Enroll
Signing up for the right amount of medical coverage is an important decision that shouldn’t be taken lightly. After you sign up for a Medigap plan, you’ll have your plan for life, so take some time and choose wisely. Each Medicare plan and insurance product we feature has been independently selected and reviewed by the Medicare Expert USA team. If you make a purchase using the links included, Parade.com may be compensated. Next up, here’show to be a good caregiver and take good care of yourself, too.
