Medicare Insurance.. Which one?
Having trouble deciding what type of medicare insurance plan to pick? Join the club!
Lucky for you, I'm going to break down Medicare for you so you can tell all your friends that you're a retirement planning genius.
For most people, when you turn 65, you're going to get Part A and B of Medicare. Problem is, it only covers you for 80%... That means you are stuck with a bill from the hospital or Dr's office. You need something else to pick that 20% up!
Here are two types of Medicare Insurance plans to help:
Medicare Supplement plans(also known as Medigap); you typically pay a high premium (like $100 - $400/month) and have no co-pays in the hospital or Dr's office.
This works to fill in the gap(20%) of Part A(Hospitals) and Part B(Dr's offices).
Medicare Supplements do not cover prescription drugs so you will need a separate Part D plan to cover this.
Medicare Advantage plans(also known as Medicare Part C) have low-or-no premiums and you pay a co-pay based on the services you receive in the Hospital or the Dr's office.
For example you might pay a $10 co-pay to see your primary care physician.
Medicare Advantage plans usually cover your prescriptions so you won't need to purchase a separate plan.
Medicare Supplement = High premium, no co-pays(in hospital or Dr's office) No RX coverage.
Medicare Advantage = Low-or-no premium, co-pays, and includes RX coverage