SPEND ON WHAT’S IMPORTANT! Save on Medigap
There are two ways to get your Medicare: Medicare Part C (Medicare Advantage) or a Medicare Supplement (Medigap). For those of you who have a Medicare Supplement policy, you are paying a monthly premium. When I enrolled you, we chose the lowest cost supplement because Medigap plans are “exactly the same coverage,” as the official Medicare handbook says. The only difference is the price. Prices, however, go up. Inflation for April 2021 was 4.2%, according to the CPI (Consumer Price Index – U.S. Bureau of Labor Statistics). Last April 2020, inflation was closer to 0. That is a significant increase. When medical costs go up, an insurance company keeps pace in two ways: age increases and rate increases. The age increases are hard- baked into the policy. We know those numbers going into the Medigap plan. I look at those age increases, and that goes into which Medigap plans I suggest. Rate increases, however, depend on a lot of factors, like inflation, the number of claims in your region, Medicare shared costs. Shared costs are Part B premium, deductibles, and coinsurance. The Medigap policy must cover those costs. If they expand, then the Medigap policy takes on more expense. All those factors are in the future and are unknown.
Continued on Back ...
11414 W. Center Rd., Suite 250 Omaha, NE 68144
402-614-3389 OmahaInsuranceSolutions.com
Made with FlippingBook Digital Publishing Software