The Medicare Open Enrollment Period is fast approaching, with the official period starting on October 15, 2020. Medicare Open Enrollment will last for a little less than two months, ending on December 7, 2020. It’s important to remember that you have a relatively short window to review your Medicare coverage for 2021. Fortunately, we have a few tips to ensure that you get the Medicare coverage you need for the coming year!
Whether you have Original Medicare or Medicare Advantage, one of your biggest expenditures is probably your deductible. As of 2020, the Part A deductible is $1,408, while the Part B deductible is $198. These numbers are likely to increase in 2021, just as they did this year.
If you have relatively few inpatient procedures each year, you may not be hitting your Part A deductible at all. In other words, your Part A insurance never really kicks in. Alternatively, your Part B deductible is much easier to pass, but you have to consider that most people qualify for premium-free Part A, while Part B requires a monthly premium of $144.60.
As previously stated, most people don’t have to worry about premiums to maintain Part A coverage. However, Part B has relatively high monthly premiums, with the trade-off of having a low deductible. If you’re struggling to make your payments each month, you may qualify for Medicaid. Even if you don’t, you may want to consider reconfiguring your Medicare coverage so that you can pay less in premiums each month.
Depending on your specific health needs, you may have very different out-of-pocket expenses from someone else. So, you need to take a look at your medical bills over the last year to see where you’re spending the most money. It could be on prescription drugs, Durable Medical Equipment (DME), lab work, surgery, physical therapy, or something else entirely. In any case, finding out where you’re money is going will help you determine if you need to switch to a policy that matches your medical needs.
A Medicare Supplement plan, also known as Medigap, is designed to help you save on Medicare-related costs. The most common ways that a Medigap plan helps you save is by reducing deductibles, copayments, and coinsurances. Evaluating how you’re spending your money on medical necessities may point you toward a Medigap plan.
If so, you can easily add a Medigap plan to your Original Medicare coverage during the 2020 Medicare Open Enrollment Period. However, you have to keep in mind that everyone is not eligible for a Medigap plan. For people who have a Medicare Advantage plan, a Medigap plan is not an option unless you switch back to Original Medicare.
By following the tips above, you can ensure that you’ll have the right kind of coverage for the upcoming year. Additionally, using these strategies could help you save money on your medical bills. In any case, don’t forget that the Medicare Open Enrollment Period begins on October 15th!
If you’d like to learn more about Medicare in 2021 or your Medicare coverage options, feel free to fill out this form or give us a call anytime. Time for 65’s partnered licensed agents are focused on giving you the information you need, with zero pressure to enroll in a plan.