Last week we highlighted our Medicare resource partner, Paul Davis and shared part 1 of his article, 10 Medicare mistakes. This week we continue with part 2.
- Choosing the least expensive health care option at 65 thinking you can change to the better plan later when you need it. You have an open enrollment at 65 to choose from all of the options in the marketplace. Medicare supplement plans will require health history questions to enroll at a later date. Medicare supplement plans are not part of the Annual Enrollment Period.
- Staying on a retiree plan without shopping for other options. Some retiree plans are now costing $300-$400 a month (on top of Part B premiums). There are qualitative factors that may compel you to stay on a retiree plan. Also, there is usually no going back. Look at your monthly cost, and also look at your potential out of pocket maximums on these plans annually.
- Not shopping plans to find the best value for Part D (prescription drug coverage). AEP (Annual Open Enrollment Period) for Part D and MAPD plans is 10/15-12/7. If your drug is not on the companies’ formulary (drug list) you will pay the full cost. If your drug is subject to “new” restrictions it may affect coverage even though the drug was previously covered.
- Not reviewing your plans periodically. Much has changed in the senior health marketplace. Standardized plans were all frozen 6/1/2010. Modernized plans with identical benefits (some plans) are usually a better value. I am still uncovering people with plans they took out before 2006 that are $200 a month more than they should be paying and lack comprehensive drug coverage.
- Not checking to see if you are eligible for assistance or Medi-cal. If you are low income and eligible you should check to see if you qualify for subsidies and reduced drug costs. Some people are reluctant to admit they are having financial difficulties.
Paul Davis (CA license # 0669770) has been in the health insurance industry for more than 33 years, specializing in Medicare and Medicare Advantage plans.
If you have a question about Medicare or would like to find the best Medicare and Medicare Supplement plan options, I encourage you to get in touch with Paul. Here are several ways to contact him:
Website – http://www.pdinsure.com
Email – firstname.lastname@example.org
Telephone – 818.888.0880