Where is your Medicare headed next year?
The Medicare Advantage Annual Enrollment Period (AEP) is one of the single most important time of the year for people that are eligible for Medicare. During this time Medicare enrollees need to consider the best choices when it comes to their health and prescription drug coverage.
Yet navigating complex options cause people to try to choose the easiest option rather than the option that would be the most beneficial. Professional help from an independent insurance broker can make a tremendous difference when deciding on the best path to take when it comes to you insurance needs.
To help those who are eligible for Medicare make their decision this article will go over some common questions that people have between October 15 to December 7.
Do I have to do anything if I like my current plan?
The simple answer is no. But there are some things you should consider. Even if you love your current plan you should still review your current plan during this time of the year with a licensed professional. During this time you can ensure that your doctors are still in network and your prescription drugs are covered. This is also the ideal time to research ancillary products that will enrich your chosen plan. Your Annual Notice of Change that is mailed in September will tell you if there are any changes to your current plan, but it doesn't account for life changes like a chronic illness, a decrease in financial assets, or a reallocation of wealth.
Can I enroll in a new plan before October 15?
Having a qualifying life event, allows for a Special Election Period which gives and opportunity to enroll in a new plan before October 15, Qualifying life events could include:
Moving outside of current plans service area
Losing credible coverage
Being new to Medicare
Developing a chronic illness
Moving into or out of a nursing facility
What happens if I completely miss the December 7 deadline?
Unless you are experiencing a qualifying election period, which can include severe weather events. Missing the AEP deadline would typically lock you into your current plan, regardless of if you have Original Medicare (Part A and Part B) or a Medicare Advantage plan. Get into the habit of applying for coverage early to ensure you have the coverage you need in place before December 7.
Will I be able to keep my current doctors and hospitals?
When is comes to doctors, hospitals, and prescription drug coverage always refer to your Annual Notice of Change (ANOC) letter that are mailed during September; this will tell you what changes are coming to the plan for the next year. Keep in mind, ANOC letters only give you information about your current plan. Seeking advice from a licensed broker can allow you to see if any other plans in your area could serve your needs better.
Getting advice from unlicensed individuals including family, friends, neighbors, healthcare professionals (doctors and nurses), attorneys, and financial experts (like CPAs) that don't hold an active health and life insurance license can leave you vulnerable when it comes to your insurance needs.
Can I switch from Medicare Advantage back to Original Medicare?
Yes, you can switch back to Original Medicare but rules apply. Many unlicensed individuals confuse Original Medicare with Medicare Supplements. Going back to Original Medicare from an MA/MAPD plan is as simple as enrolling in a stand-a-lone Prescription Drug Plan. This will effectively disenroll you from the Medicare Advantage plan and put you back on Original Medicare.
What is complicated is if you want a Medicare Supplement plan to fill in the gaps of Original Medicare. If you are outside of your Initial Election Period (IEP), your Medicare Supplement (Medigap) application will go through underwriting which means you are at risk of being denied coverage.
The truth of the matter is that transitioning into Medicare is complex and there are many options available. Sadly, many people do not know how many options meant to save money and compliment your lifestyle are available. Regardless of if you have Original Medicare or Medicare Advantage.
Ultimately, insurance is a financial product that is meant to protect us for certain risks. Many of which can lead to financial turmoil. Give yourself time to review options that are available to you and speak with an insurance broker that will take the time to explain different products and give you an objective point-of-view.
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