Choosing the Right Medicare Insurance Plan

Written By: Larry Klein on February 9, 2010 No Comment

Medicare is a health care program designed for people who are 65 and over, but it is also available to younger people who have disabilities. Medicare insurance is administered by either the United States government or by private organizations. It covers several types of expenses for medical care, including doctor visits and hospital stays.

Two types of Medicare insurance

There are two varieties of Medicare insurance, Medicare advantage insurance and Medicare supplemental insurance, which sometimes is called Medigap. The two types can be confused and some people think they actually are the same thing, but there is a big difference between them.

People usually pay less money with a Medicare advantage plan. In this type of plan, Medicare partners with a private insurer to manage the insured person’s benefits. The biggest difference between an advantage insurance plan and supplemental insurance is that an advantage plan pays medical expenses instead of Medicare, not after Medicare. You will also be required to make co-payments when you visit a doctor or go to the hospital. HMO, PPO and PFFS plans are the three types of Medicare advantage plans that are currently available.

The other type of plan, Medicare supplemental insurance, requires an additional fee which is higher than the normal Medicare premium. Supplemental insurance will cover more coinsurance payments or deductibles, and it pays after Medicare. However, you receive greater benefits from supplemental insurance. Depending on the specific supplemental plan you choose, it will cover your Part A deductible (hospitalization costs) and Part B deductible (doctor’s fees). It might also pay 20% of what normal Medicare would not typically cover and it might even pay the extra 15% of your Part B expenses (excess charges) if your doctor does not accept Medicare’s allowable charges. Foreign travel might be covered with a supplemental policy, and as long as they accept Medicare, you will be able to choose any doctor or hospital you like.

Choosing the best Medicare insurance plan for you

Different types of Medicare insurance plans are available to choose from, so knowing how to select the most suitable plan would be helpful. Keep in mind that not all plans may be available in your area. This means that your first step is to find out which Medicare insurance plans are available where you live, and learn about the different options you have. Once you know your options, determine whether lower costs or the freedom to choose any doctor or hospital is more important. People may have different needs and concerns about health care plans, and that is exactly the reason why more than one type of Medicare insurance plan exists. After you determine which is more important, compare each plan’s quality along with important details like benefits, costs, and the rules that apply to choosing a hospital or doctor. Understanding this information about each plan and knowing all your options will help you decide which one would be your best choice.

Typically the cost of your Medicare insurance will depend on a few different things, including which type of plan you select, the frequency of your doctor or hospital visits, and whether you have any other insurance. All of these factors can influence the total amount you might have to pay.

Want to find out more about Medicare, then visit medicarepart.us to learn more about medicare part C and all of Medicare parts.