Choosing Medigap Plan at 65 (with pre-existings)

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Topic Author
bill88
Posts: 94
Joined: Thu Feb 21, 2013 9:22 am
Location: Virginia

Choosing Medigap Plan at 65 (with pre-existings)

Post by bill88 »

I'm treating my sign-up for Medigap as a one-time decision -- in case I won't get thru underwriting if I want to change carriers in the future.

I'm looking at Plan F, either with
--AARP (UnitedHealthcare),
--CareFirst (BlueCross/BlueShield), or
--USAA (Humana) for Plan F.

(My wife has AARP's Plan F.)

Is the fact that AARP and USAA do not offer a High-Deductible Plan F any kind of a red flag? (CareFirst does offer it.)

AARP is 'Community Rated' while CareFirst and USAA are 'Attained Age.' In theory, Consumer Reports prefers community rated plans, but in practice, does it make any big difference in rate increases between the three carriers?

Is 'Attained Age' a red flag for CareFirst and USAA?

Is anyone currently covered by USAA's Plan F? If so, history of rate increases?

Thanks for your feedback,
Bill


P.S. FWIW, If I go with Plan F (any carrier), I should be able to switch to a "less rich" plan in the future (within the same provider). But -- given my pre-existings -- I might not get thru underwriting (with the same carrier, or a different carrier) if I were to start with a "less rich" plan and later try to 'upgrade' to a "more rich" plan.

P.P.S. I posted earlier when I was looking just at AARP's plan.
http://www.bogleheads.org/forum/viewtop ... st=1751017
Bill | | (Formerly bill99)
BruDude
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Re: Choosing Medigap Plan at 65 (with pre-existings)

Post by BruDude »

CareFirst's med-supp rates are usually not very competitive. You should also be looking at Plan G since the only difference between G and F is the Medicare Part B deductible has to be paid by the insured with Plan G, while Plan F pays it for you. Let's say that deductible is $140/year - if the premiums for Plan G are $150/year less than Plan F, then you should choose Plan G since it makes no sense to pay $150 in premiums to insure a $140 risk. Most plans are attained-age rated. Companies like Gerber, United/Mutual of Omaha, and Family Life usually have the lowest premiums for med-supps. Since the plans work exactly the same regardless of the insurance company, you should be shopping for the lowest price.
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frugaltype
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Re: Choosing Medigap Plan at 65 (with pre-existings)

Post by frugaltype »

I also wore my brain out, planning to stay with whatever I picked.

I have been happy with AARP Plan F. No more tracking deductibles and copays. AARP Plan D has been fine too. I've twice needed authorization for a med and the turn around time was a day or two.

United Healthcare sucked eggs when I was in their plan before I retired and became eligible for Medicare. AARP Medigap administered by United Healthcare is a completely different experience.
Topic Author
bill88
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Joined: Thu Feb 21, 2013 9:22 am
Location: Virginia

Re: Choosing Medigap Plan at 65 (with pre-existings)

Post by bill88 »

BruDude wrote:CareFirst's med-supp rates are usually not very competitive. You should also be looking at Plan G since the only difference between G and F is the Medicare Part B deductible has to be paid by the insured with Plan G, while Plan F pays it for you. Let's say that deductible is $140/year - if the premiums for Plan G are $150/year less than Plan F, then you should choose Plan G since it makes no sense to pay $150 in premiums to insure a $140 risk. Most plans are attained-age rated. Companies like Gerber, United/Mutual of Omaha, and Family Life usually have the lowest premiums for med-supps. Since the plans work exactly the same regardless of the insurance company, you should be shopping for the lowest price.
Thanks for the tips, BruDue. Will take a look at the other plans. Of the three carriers I mentioned, only CareFirst offers G -- at least in my state (commonwealth!), Virginia. My F quote is $129, G is $119, so G saves me $120/yr. (Why do I feel the insurance co. bean counters have calculated these choices to the penny. :-)

Cheers,
Bill
Bill | | (Formerly bill99)
Topic Author
bill88
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Joined: Thu Feb 21, 2013 9:22 am
Location: Virginia

Re: Choosing Medigap Plan at 65 (with pre-existings)

Post by bill88 »

frugaltype wrote:I also wore my brain out, planning to stay with whatever I picked.

I have been happy with AARP Plan F. No more tracking deductibles and copays.
Ditto my wife, frugal type; works smoothly for her so far, and no tracking.

We had the same "egg-sucking" (:-) experience with UHC's group plan before my wife started Medicare. I now have an individual policy with Golden Rule (a UHC company/spinoff?). $400+ a month and a $10,000 deductible. Pretty close to catastrophic coverage, but it ends Sept. 1. :sharebeer

Cheers,
Bill
Bill | | (Formerly bill99)
BruDude
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Re: Choosing Medigap Plan at 65 (with pre-existings)

Post by BruDude »

bill88 wrote:
BruDude wrote:CareFirst's med-supp rates are usually not very competitive. You should also be looking at Plan G since the only difference between G and F is the Medicare Part B deductible has to be paid by the insured with Plan G, while Plan F pays it for you. Let's say that deductible is $140/year - if the premiums for Plan G are $150/year less than Plan F, then you should choose Plan G since it makes no sense to pay $150 in premiums to insure a $140 risk. Most plans are attained-age rated. Companies like Gerber, United/Mutual of Omaha, and Family Life usually have the lowest premiums for med-supps. Since the plans work exactly the same regardless of the insurance company, you should be shopping for the lowest price.
Thanks for the tips, BruDue. Will take a look at the other plans. Of the three carriers I mentioned, only CareFirst offers G -- at least in my state (commonwealth!), Virginia. My F quote is $129, G is $119, so G saves me $120/yr. (Why do I feel the insurance co. bean counters have calculated these choices to the penny. :-)

Cheers,
Bill
What's your zip code? You can PM it if you don't want to post it on the forum. Plan G should be $65-100/mo at age 65.
Topic Author
bill88
Posts: 94
Joined: Thu Feb 21, 2013 9:22 am
Location: Virginia

Re: Choosing Medigap Plan at 65 (with pre-existings)

Post by bill88 »

BruDude wrote: What's your zip code? You can PM it if you don't want to post it on the forum. Plan G should be $65-100/mo at age 65.
Well, I like your numbers better. :-) My CareFirst numbers ($129 for F; $119 for G) are from CareFirst's Medicare Supplement Coverage Outline - Supplement-65 Virginia, Level 1, Male Rates the open enrollment rates during the Guaranteed Issue period. It says the rates are effective January 1, 2013. Go figure.

I also looked thru the printed material from United of Omaha. For my zip code range, the monthly non-tobacco, male rate quote is $153.19 for F; $116.10 for G. Haven't checked anything else yet. Will PM you my zip code.

Thanks,
Bill
Bill | | (Formerly bill99)
nonnie
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Re: Choosing Medigap Plan at 65 (with pre-existings)

Post by nonnie »

[quote="bill88"]

(My wife has AARP's Plan F.)


Thanks for your feedback,
Bill

We're in CA and so are able to change every year if we wish even with pre-existing. We're just completing our first year w/AARP Plan F and haven't had any problems. They are the 3rd carrier we've had. It's Medicare where the problems occur--once Medicare pays a claim i've always found the secondary follows like clockwork. Double check your quote, I seem to remember that there is a discount for two people in the same household-- but I may be thinking of the plan we had last year, Blue Shield.
Topic Author
bill88
Posts: 94
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Location: Virginia

Re: Choosing Medigap Plan at 65 (with pre-existings)

Post by bill88 »

nonnie wrote:We're in CA and so are able to change every year if we wish even with pre-existing. We're just completing our first year w/AARP Plan F and haven't had any problems. They are the 3rd carrier we've had. It's Medicare where the problems occur--once Medicare pays a claim i've always found the secondary follows like clockwork. Double check your quote, I seem to remember that there is a discount for two people in the same household-- but I may be thinking of the plan we had last year, Blue Shield.
Hi, Nonnie.

Hmm...well, would love ability to price-shop each year without underwriting. A cross country move is a rather expensive solution, but we do have some family out that way. :?

Will check for discounts.

Cheers,
Bill
Bill | | (Formerly bill99)
nonnie
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Re: Choosing Medigap Plan at 65 (with pre-existings)

Post by nonnie »

bill88 wrote:[. A cross country move is a rather expensive solution, but we do have some family out that way. :?

Will check for discounts.

Cheers,
Bill
With a sense of humor like yours, you'd do great out here-- you gotta laugh at everything going wrong and how expensive it is!
Kelly
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Re: Choosing Medigap Plan at 65 (with pre-existings)

Post by Kelly »

I know we are not supposed to post for profit services but this firm http://www.doverhealthcareplanning.com/home.html (fee-only, no sales) are experts in advising on these plans. They charge $100.

Kelly
jimkinny
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Joined: Sun Mar 14, 2010 1:51 pm

Re: Choosing Medigap Plan at 65 (with pre-existings)

Post by jimkinny »

I signed up with a plan F HD 8-9 months ago. The problem we have in making a decision is lack of information and so it is hard to make a logical choice.

I eventually just made a choice on cost and the insurances company financial rating and my preference for plan F HD.

If I ever decide to go with an advantage plan because of my dissatisfaction with my current provider, it will be easy, with no per-exising conditions issues. I will go with the highest star rating at that time, so I am not worried, like I was 8-9 months ago.

There are states other than CA that allow one to move from one company to another company, keeping the same plan. Perhaps I missed in your post that you had already checked that.

jim
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jjustice
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Re: Choosing Medigap Plan at 65 (with pre-existings)

Post by jjustice »

Depending on what's available where you live, Medicare Advantage may be simpler and better for you. I wracked my brain trying to choose among the supplemental and drug plans, but I ended up happy with Medicare Advantage, aka Medicare Part C, which requires no supplementation of any sort. It has a few nice extras also, like eye care.
John
Bradley
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Re: Choosing Medigap Plan at 65 (with pre-existings)

Post by Bradley »

bill88 wrote: Is the fact that AARP and USAA do not offer a High-Deductible Plan F any kind of a red flag? (CareFirst does offer it.)

AARP is 'Community Rated' while CareFirst and USAA are 'Attained Age.' In theory, Consumer Reports prefers community rated plans, but in practice, does it make any big difference in rate increases between the three carriers?

Is 'Attained Age' a red flag for CareFirst and USAA?

Is anyone currently covered by USAA's Plan F? If so, history of rate increases?


Bill


These questions are easily answered by an independent health care broker. Will cost you nothing because the insurance company pays his commission.
You can sum up any active fund manager’s presentation at an investor conference in one sentence: “We’re doing well, all things considered.”
stampschick
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Re: Choosing Medigap Plan at 65 (with pre-existings)

Post by stampschick »

bill88 wrote:I'm treating my sign-up for Medigap as a one-time decision -- in case I won't get thru underwriting if I want to change carriers in the future.

I'm looking at Plan F, either with
--AARP (UnitedHealthcare),
--CareFirst (BlueCross/BlueShield), or
--USAA (Humana) for Plan F.

(My wife has AARP's Plan F.)

Is the fact that AARP and USAA do not offer a High-Deductible Plan F any kind of a red flag? (CareFirst does offer it.)

AARP is 'Community Rated' while CareFirst and USAA are 'Attained Age.' In theory, Consumer Reports prefers community rated plans, but in practice, does it make any big difference in rate increases between the three carriers?

Is 'Attained Age' a red flag for CareFirst and USAA?

Is anyone currently covered by USAA's Plan F? If so, history of rate increases?

Thanks for your feedback,
Bill


P.S. FWIW, If I go with Plan F (any carrier), I should be able to switch to a "less rich" plan in the future (within the same provider). But -- given my pre-existings -- I might not get thru underwriting (with the same carrier, or a different carrier) if I were to start with a "less rich" plan and later try to 'upgrade' to a "more rich" plan.

P.P.S. I posted earlier when I was looking just at AARP's plan.
http://www.bogleheads.org/forum/viewtop ... st=1751017
Whether "attained age" is a red flag depends on whether you are willing to deal with the annual rate increases as you get older. These policies usually start out cheaper when you sign on at age 65, but over time they could become more expensive than the issue-age or community rated policies, even though their rates are more expensive. On top of the annual increases because of age, those attained-age policies' rates also increase because of inflation and rising healthcare costs. So sometimes the increase can be substantial.
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