There are three types of Medicare Advantage plans. Medicare HMOs offer the most economical option, but enrolled people have restrictions on receiving medical coverage, as HMOs generally do not pay for out-of-network care. If you stay in your medical network, you will find co-payments are reasonable, so this is a very popular and affordable option for seniors. Medicare Advantage customers who lose their plan can always return to the original “tried and true” Medicare system along with a Medicare supplement or Medigap plan. Although Medicare plans are age-based, a good plan will pay for deductibles and 20% co-insurance that Medicare does not pay. This means that most medical expenses are fully covered, unlike Advantage plans that have co-payments and other direct costs. Here’s the best part: there is no medical signature for a customer who is missing out on their benefit plan. Even those with uninsurable conditions are guaranteed coverage by the insurer of their choice.For those who are not satisfied with Medicare Advantage, the open enrollment period the perfect opportunity to return to Medicare and the most competitive supplement plan available.
The new Medicare M Plan offers unique cost-sharing options which are quite attractive to Medicare beneficiaries who are relatively healthy. Policy M provides half of the deductible for Medicare Part A, which is $1,100 per benefit period in the year 2010. For instance, if have a Medigap M plan and you are admitted to the hospital, you must pay $550: which is half of the $1100.Prevailing regulations still apply to the deductible of Medicare Part A, to the extent that that if you get admitted and you leave for at least 60 days, you will need to come back within the calendar year and you this deductible has to be paid one more time.
With a supplemental plan for Medicare M, you are also liable to pay the Part B deductible for Medicare, which in 2010 was $155. In addition to this deductible, there are no co-pays for doctor’s office and the plan will pay the 20% co-insurance. For those interested in choosing a Medicare Advantage plan in 2011, you may be confused by all the options available. And the fact that a Medicare Advantage plan is the most popular doesn’t mean it’s right for you. The best advice is to do homework and compare policies. Also, even if you signed up for a plan in 2010, that doesn’t mean your coverage will stay the same this year. The devil, as they say, is in the details.