I think we can agree that there is a lot of conflicting information about Medicare Supplement Plan F.
When you finish this article, you will have a complete understanding of Medigap Plan F and what the best route you should take regarding supplements.
We will discuss what is Medicare Supplement Plan F, when the plan will no longer be available for new
enrollees and compare Medicare Supplement Plan G regarding your future supplement plan choices.
What Is Going On With Medigap Plan F?
For many years, Plan F has been the most popular Medicare Supplement plan.
The plan covers everything, including paying your Medicare Part A and Part B deductible.
This plan was designed for you to have very little out of pocket expense, if any, once you pay the monthly deductible.
However, because there was no out of pocket expenses for hospital and doctor’s visits, a Federal study concluded that people who had Medicare Supplement Plan F would sometimes make appointments to visit the hospital or doctor when it was not really necessary.
Because these appointments were made for ailments that tended to right themselves within a day or so, many doctor’s offices were having a lot of people not show up for the appointments or calling to cancel them.
This led to a lot of inefficiencies and unnecessary costs being imposed doctors and hospitals.
Medicare Supplement Plan G is identical to Plan F, with the exception that Plan G’s users must pay the Medicare Part B deductible for doctor’s visits.
The Federal study concluded that because Plan G users must pay the Medicare Part B deductible, they statistically made far less appointments for minor ailments and thus, didn’t miss their appointments that they did make.
The government determined that Medigap Plan F would be phased out of the supplement offerings effective January 1st, 2020.
What Does The Discontinuation of Medicare Supplement Plan F Mean To Me?
The discontinuing of Medicare Supplement Plan F will affect a lot of people for many years, especially after they stop accepting new enrollees.
Medicare Supplement Plan G offers identical coverage to Plan F, except, you have to pay your Medicare Part B deductible which will cost $226 in 2023.
The best part about Medigap Plan G is that the premiums are much lower than the Plan F premiums, so by choosing Plan G, you will actually be saving money even with paying your Medicare Part B deductible.
If you are presently enrolled in Medicare Sup Plan F, you need to speak with a Medicare expert about changing plans.
“Plan F being phased out in 2020 is going to be a large factor in deciding which plan to choose. When companies assess rate increases they base it on risk. Since younger and healthier individuals will no longer be able to purchase Plan F, the companies will be assessing the risk on a group that is continuing to age and statistically declining in health. That means the likelihood of rate increases for Plan F will not only occur more frequently, but the severity of the increases will be more significant than other plans as well. ”
Sean Senseman of Medicare About You
Generally, if you are healthy and current on your Supplement payments, you should be able to make the switch, save some money and be able to relax, knowing your plans premiums should stay pretty consistent over the upcoming years.
However, the real concern with not changing from Medigap Plan F to Plan G is down the road.
Starting in 2020, Plan F will cease to take on new young healthy 65 year olds.
Without having new blood, the cost for the group will slowly increase the premiums because the group will only be getting older as a group.
This means that Plan F’s premiums will slowly start to rise much faster than other Supplement plans that are still being offered and taking in the younger and typically healthier enrollees.
Moving from Plans is not a guarantee, certain health conditions and medications can result in denial of new coverage.
Knowing this, the sooner you try and move from Plan F the better.
Statistically, as people age they will incur more health problems, so it is important that you contact a Medicare expert now, while you are healthy enough to qualify for a new Medicare Supplement Plan.
- Male
- Female
Check out these sample rates for Plan N, Plan G & Plan F.
| Age | Plan N | Plan G | Plan F |
|---|---|---|---|
| 65 Years Old | $106.00 | $144.00 | $167.00 |
| 66 Years Old | $106.00 | $144.00 | $167.00 |
| 67 Years Old | $106.00 | $144.00 | $167.00 |
| 68 Years Old | $106.00 | $144.00 | $172.00 |
| 69 Years Old | $108.00 | $145.00 | $176.00 |
Sample Quotes: Male – Non-Tobacco – Living in Hagerstown, MD
Check out these sample rates for Plan N, Plan G & Plan F.
| Age | Plan N | Plan G | Plan F |
|---|---|---|---|
| 65 Years Old | $94.00 | $128.00 | $148.00 |
| 66 Years Old | $94.00 | $128.00 | $148.00 |
| 67 Years Old | $94.00 | $128.00 | $148.00 |
| 68 Years Old | $94.00 | $128.00 | $150.00 |
| 69 Years Old | $96.00 | $129.00 | $153.00 |
Sample Quotes: Female – Non-Tobacco – Living in Hagerstown, MD
Medicare Supplement Plan F Rate Comparison
Let’s look at Medicare Supplement Plan F Rates as they compare to Plan G’s rates.
If you are a male, 69 years of age and you live in Hagerstown, Maryland, the lowest cost Plan F insurance policy is around $176.00.
The same person could also choose Medicare Supplement Plan G for the cost of around $145.00.
The only difference between these two policies is that with the less expensive Plan G, you will be responsible for paying the Medicare Part B deductible of $226 in 2023.
In this instance, Plan F costs $31.00 a month more than Plan G.
If we multiply $31.00 x the 12 months of the year, Plan F’s Supplement plan costs $372.00 more a year than Plan G.
However, with Plan G we must pay a $226 Medicare Part B deductible.
When we subtract the Medicare Part B deductible from the $372.00 additional cost of Plan F, we find that choosing Plan G will still save this person $146.00.
In addition to saving $146.00, you will not have to worry about the rapidly rising Plan F insurance rates due to no new enrollment.
Taking Action!
Senior Benefit Services will be able to help guide you through choosing a Medicare Supplement Plan.
There are many factors that determine the Best Medicare Supplement Plan for you.
The Experts at Senior Benefit Services have been specializing in helping seniors make the best Medigap insurance choices for over 50 years!
Call now at 1-800-924-4727 or fill out the easy and convenient ‘Start Free Comparison’ form in this article.