Compare Medicare Supplement Plans
2014 Medicare and Medigap Updates
Compare Medicare Supplement Plans
The beauty with a system like Medigap, where federal laws mandate uniform coverage for plans of the same name is that the selection of a preferred plan is reduced to the manageable task of learning how to compare Medicare supplement plans. Imagine if all healthcare insurance companies had free reign in devising their own medical coverage plans; objectively selecting the best plan out of a hundred possible options could have been a painstaking affair. Instead, we can easily compare Medicare supplement plans in the status quo by simply looking at the premium pricing schemes in place.
To be able to objectively compare Medicare supplement plans, you need to remember two things: first, what are the typical pricing strategies that companies use to calculate premiums; and second, what are the avenues through which you can run an objective comparison.
On the first count, the methods used by healthcare companies to calculate premiums are mostly known. These include the community-rated premiums, age-rated premiums and attained age-rated premiums. To quickly differentiate: community-rated premiums are priced in the same way for buyers regardless of age. In contrast, age-rated premiums vary depending on the age of the buyer with older customers charged more for their healthcare plans. Finally, attained age rated premiums change on a yearly basis as the customer ages.
Depending on your situation, some plans might benefit you more than others although it is really hard to differentiate them at times. Community-rated premiums tend to favor older customers while age-rated premiums favor those who buy Medigap at age 65. Likewise, the value of age attained rated plans vary according to the plan type.
To conclusively be able to compare Medicare supplement plans, you can use a variety of strategies that would help you put things into perspective. Consider these tips and inputs:
Your best bet at learning the true Medigap prices is to inquire from companies and ask for a quote. At the onset, you can narrow down your choices so you do not get 15 different quotes from 15 suppliers. Instead, 5 to 7 is a good rule of thumb for price quotes that you can use as reference before making a decision.
You can also research from the internet. There are websites that offer to run rough comparison of many companies in your area. While these are not truly accurate, at least it gives you a ballpark estimate for the premium pricing.
Last, you can talk to government healthcare agents to help you narrow down your choices. These agents are mandated to assist you in finding the best options at the lowest prices so use this resource to pick the one that’s right for you.
It is important to compare Medicare supplement plans before you decide on a particular policy to buy. Take note that balancing coverage with price is the most essential goal that you can hope to achieve with this exercise. By doing your homework, talking to knowledgeable people and asking companies for quotes, you can exhaustively compare Medicare supplement plans and be able to come up with a decision that will put your best interest forward.
Keep in mind that the policy plans are regulated by the government even if you are buying from a private insurance company. Once you have decided on the plan best for you, then all you need to do is find the best price. The coverage will be the same with all companies.
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