Tuesday, January 29, 2008

Medicare Supplement Plans for 2008

Medicare Supplement (Medigap plans) have been a popular and sensible way to help retirees deal with the rising costs of healthcare for many years. The recent changes in the Medicare system introduced the new Medicare Advantage plans as an alternative option. I have heard many pros and cons as to which plans are a better choice. My answer to this is quite simple. "Choose the right Medicare plan for each situation". If you are well prepared for retirement and want the most freedom to use any doctor then you will want a Medicare Supplement plan. The monthly premiums for a Medicare Supplement (Medigap) will be substantially higher than a Medicare Advantage Plan and does not include drug coverage but you can purchase a Medicare Part D plan seperately for around $25 (plans can be more or less depending on the level of coverage). Most Medicare Supplement plans do cover all or most of the part b copays which can get quite expensive and this is a great benefit and provides less stress to the insured (you)

Medicare Advantage Plans offer low or no monthly premiums beyond your regular part b premium since the government pay a monthly premium to the insurance company on your behalf. These plans usually offer additional benefits and lower copays than Original Medicare and can be a great option for those who have a limited income or for those who a generally pretty healthy. With a Medicare Advantage Plan you will have some co pays and many of these plans have an annual out of pocket maximum which limits the amount you will have to pay each year.

Whichever type of plan you decide to enroll in make sure you do some research first. There are several helpful websites available with more details and resources. One of my favorites which I have mentioned before is http://www.todaysmedicare.com/ . This site will give you helpful impartial information for insurance AND government susidized programs for those in need. You can also find forms and detailed information for almost any Medicare related issues.

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