Most Advantage plans incorporate Part D, so all hospital, medical, and drug coverage is under one roof. Advantage plans have an annual “Maximum Out of Pocket” feature, with a cap on the amount you will pay for medical services in a given year. You pay a copay for services as you use them in an ala carte “pay as you go” approach, with many copays $0. Medicare Advantage plans (also known as “Part C”) tend to have much cheaper or no monthly premiums. You will also need to acquire a separate Part D drug plan, which tends to be in the $15 – $40 range per month for the more common plans. They typically range from $75 – $150 per month for a 65 year old, depending on the level of coverage you get (and generally increase each year). Medicare Supplement plans simply fill the gaps in Parts A and B so that you pay little or no additional copays for services, but with few additional benefits. Medicare Advantage plan, which includes the Part D drug plan.Medicare Supplement (also known as MedSupp or Medigap) plan, along with a separate Part D drug plan.There are two different approaches to reducing or eliminating these exposures: Part B has an annual deductible of $198 in 2020, but more significantly, you are committed to pay 20% of all medical bills. If you are admitted to the hospital three times in one year, you will pay that deductible three times, or $4,224 in this example.

In the case of Part A there is a deductible that has to be paid each time you are admitted to the hospital, $1,408 in 2020. The problem with only having Parts A and B is that they come with significant gaps in their coverage. The “Original”, basic Medicare consists of two parts, Part A which covers hospital expenses and Part B which covers medical expenses. No doubt about it, Medicare is confusing! Here I will attempt to simplify things a little bit for you. What exactly is the difference between Medicare Advantage and Medicare Supplement plans?.Is there a less expensive alternative or one with more coverage than what I have now?.Is the Medicare plan that I got years ago still the best for me?.Since we are in the Annual Enrollment Period, October 15th – December 7th, you may be thinking about your Medicare coverage and wondering: By Steve Seely, Integrity Health Advisors ~

Ufocus guidance for the puzzled