The most popular Medicare supplement plan in the country, the Medigap Plan F, and the nearly as broad Plan C will be discontinued come Jan. 1, 2020.
Medicare officials have announced that they will be discontinuing new enrollments into these plans, but those already enrolled will be grandfathered and be able to keep the same coverage.
More than 13 million Americans are enrolled in Medigap insurance policies. And the most popular plan, by far, is the expansive Plan F, which accounts for 60% of all in-force Medicare supplement plans in the country.
It’s the most popular because it’s the broadest: Plan F protects enrollees from all out-of-pocket deductibles and copays under Medicare Parts A and B. All you pay are the premiums to stay enrolled in Plan F.
Specifically, Plan F provides the following coverage:
• Medicare Part A deductible
• Medicare Part B excess charges
• Part A hospital and coinsurance costs – up to an additional 356 days after you exhaust Medicare benefits
• Part B coinsurance and copays
• Up to three pints of blood per year
• Part A hospice care copays or coinsurance
• Skilled nursing facility coinsurance
• Foreign travel emergency medical care (80% of costs, up to plan limits).
Suddenly, Plan F market is hot
Some carriers are still marketing Plan F policies – and even souping them up with extra benefits to differentiate themselves in a competitive market.
For example, Anthem BlueCross/BlueShield is now rolling out a new plan called Innovative Plan F Medigap, which comes with the comprehensive coverage under a standard Plan F Medigap plan, and adds vision and dental coverage, plus a 24/7 nursing assistance line and the popular Silver Sneakers fitness plan.
Note that if you have pre-existing conditions, your carrier can exclude expenses related to these conditions for up to six months – even if you enroll during your open enrollment period.
Enrollment tips
If you want to be able to stay enrolled in a Plan F policy, whether from Anthem Blue Cross or any other carrier, you must be enrolled in Medicare Part A and B, and you must be enrolled in the Plan F Medigap plan before January 1, 2020.
The best time to enroll is during your Medicare open enrollment period. This is the six-month period that begins on the first day of the month in which you turn age 65 or older, and you enroll in Medicare Part B.
As long as you are enrolled in Medicare Part A and B and you apply during your open enrollment period, and you are not currently already enrolled in a Medicare Advantage plan, you cannot be turned down.
What if I miss open enrollment?
If you miss your open enrollment period, you will have to qualify medically for the plan. That means you may have to submit to a medical examination and submit medical records.
The standard for enrolling in these plans outside of open enrollment is likely to be very high. If you don’t meet their underwriting standards, they could charge you a higher premium, or they could turn you down outright.
Note: The fall open enrollment period only applies to Part D coverage and to Medicare Advantage (Part C) plans. Many seniors mistakenly assume that they can take advantage of a fall open enrollment or annual election period and get guaranteed enrollment in a Medigap plan.
Call us for more information or to begin the process of enrollment.