Page 34 - AAA Magazine – Ohio Auto Club – September 2022

Medicare Advantage vs Medicare Supplement
Medicare provides two different types of products. These types are Medicare Advantage and Original Medicare with a Supplement. When the time comes, you must decide which type of plan is right for you. While Medicare offers an annual election period to make changes to your plan from Oct. 15 through
Dec. 7, changing between these two types may not be guaranteed. Choosing which one is suitable for you when first becoming eligible for Medicare is important. For some, it could be a lifetime decision.
Under the governmental program, Medicare Parts A & B pay at 80% after separate deductibles. A traditional supplemental plan will pay the remaining 20% and typically pick up the deductibles. These plans also are referred to as “Medigap” because they fill in the gaps not paid by Medicare. Between Medicare and the supplement, you could expect nearly 100% coverage for all covered Medicare services. You may go to any medical provider in the nation that accepts Medicare. Prescription drug coverage is not included so you will need to purchase a stand-alone Part D drug plan. Supplemental plans are usually the higher option in terms of premium.
Medicare Advantage plans (sometimes called
“Part C”) replace original Medicare with an all-inclusive plan offered by a private insurance carrier. You must still pay any Part A and B premiums. Medicare Advantage plans combine Part A (in-patient hospitalization) and
Part B (out-patient medical). They typically include Part D (prescription drug coverage). Advantage plans can even add some dental, vision and hearing, along with other personal services. These plans will require members to share in the cost of all medical services by you paying
a flat-dollar or percentile copayment. The costs can change on an annual basis. Advantage plans also will require members to stay in network. Depending on
the plan, members would have no coverage or would
Deciding which one is right for you depends on your budget, health, freedom to choose doctors and tolerance toward paying copayments for services.
have to pay more for services when out of network. Advantage plans usually have a low, attractive premium. As low as zero dollars.
Deciding which one is right for you depends on
your budget, health, freedom to choose doctors and tolerance toward paying copayments for services. Don’t make the mistake of going with a plan solely based on what your family and friends have or say or looking only at the premium price.
Whether you are already on Medicare or you are becoming Medicare eligible, it is highly recommended you find a licensed agent who can help you determine all your options and which Medicare plan is right for you. A Medicare agent can ease that overwhelming mountain of mail you receive about Medicare. If you will be covered on your or your spouse’s employer plan past the age of 65, you might be able to delay Medicare or you could use that in conjunction with Medicare Part A & B.
Do not provide any information to anyone who calls you that you did not give previous consent.
If you are going to be age 65 soon, it is recommended that you start about three to six months before the month of your birthday, so you won’t be rushing to decide
what to do. Most importantly do not procrastinate or do nothing. Make sure you decide on some kind of credible Medicare option to avoid any lifetime penalties.
32 | AAA MAGAZINE
For more information, email LifeInsurance@AAAOhio.com.
wundervisuals / iStock