Enrolled Agent-licensed to practice before the IRS, Samuel N Smith, EA, South Carolina
Let's review the history of Medicare. When Medicare was introduced in 1965 Medicare included Part A(hospital) and Part B(outpatient). Then the Part D was added to cover the drugs. So now we have Part A, Part B, and Part D. Part C-Medicare Advantage combines Part A, B, and D into one policy -Part C. Medicare purchasing decisions are based on the question of can I afford to pay for a medicare supplement and a drug plan plus the medicare supplement premium will increase each year.
Depending which State and what County that live in many Medicare Advantage Plans(Part C) have a zero premium while they include coverage for Part A, B, & D. What is the catch? First of all you need to understand once you make the decision to go the Medicare Advantage Plan way you will only be able to purchase a medicare supplement plan in the future only if you pass underwriting questions. So if you have developed heart conditions, diabetes, etc. then you will have to stay with Medicare Advantage or be prepared to cover the Part A deductible and all the Part B charges not covered by Medicare. Medicare Advantage has copays that are required each time visit the doctor-typically that range from $20 for primary care physician to $50 for specialist. Obviously, the more times you go to the doctor the more it pays for you to stay with original medicare
The advantage of Medicare Part C or a Medicare Advantage plan is the premiums are often $0 per month or very low. In addition, you can get a plan that includes a prescription drug benefit. These two things usually catch everyone's attention and they sometimes over look the down side to a Medicare Advantage Plan.
Medicare Advantage plans have a network so you need to make sure you stay within that network at all times. The network for exactly the same plan can change from year to year which frustrates clients. The benefits to the plan you are on can also change the next year. For this reason, a lot of people consider a Medicare Supplement because the benefits can not change from year to year and there is no network to mess with.
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Depending which State and what County that live in many Medicare Advantage Plans(Part C) have a zero premium while they include coverage for Part A, B, & D. What is the catch? First of all you need to understand once you make the decision to go the Medicare Advantage Plan way you will only be able to purchase a medicare supplement plan in the future only if you pass underwriting questions. So if you have developed heart conditions, diabetes, etc. then you will have to stay with Medicare Advantage or be prepared to cover the Part A deductible and all the Part B charges not covered by Medicare. Medicare Advantage has copays that are required each time visit the doctor-typically that range from $20 for primary care physician to $50 for specialist. Obviously, the more times you go to the doctor the more it pays for you to stay with original medicare
Medicare Advantage plans have a network so you need to make sure you stay within that network at all times. The network for exactly the same plan can change from year to year which frustrates clients. The benefits to the plan you are on can also change the next year. For this reason, a lot of people consider a Medicare Supplement because the benefits can not change from year to year and there is no network to mess with.