When it comes to Medicare, having the right coverage can make a huge difference in your healthcare experience. For many, the choice boils down to two main options:Medicare Advantage vs. Medigap (also known as Medicare Supplement Insurance. Each has unique advantages, so knowing their differences is essential in selecting the right fit for you.
Skyline Benefit is an independent Medicare insurance agency that can guide you through these options, making it easy to find a plan that works best for you. Our AHIP-certified team is here to answer your questions and help you understand the Medicare options available.
What is Medigap?
Medigap plans are standardized insurance policies sold by private companies to cover some out-of-pocket costs that Original Medicare (Parts A and B) does not. This policies work alongside Original Medicare and are only available to those enrolled. Medigap offers several plans (A through N), each providing different benefits to reduce out-of-pocket expenses.
What is Medicare Advantage?
Medicare Advantage (Part C) is an alternative to Original Medicare. Private insurance companies offer these plans to combine Medicare Part A (hospital insurance) and Part B (medical insurance) into one comprehensive plan. Many Medicare Advantage plans include extra benefits like prescription drug coverage and dental, vision, and hearing care. Unlike Medigap, Medicare Advantage operates as a standalone plan.
Medicare Advantage vs. Medigap: How Do Costs Compare?
Medigap:
- Premiums: Medigap plans generally have higher monthly premiums, but they cover many out-of-pocket costs that Original Medicare doesn’t.
- Out-of-pocket costs: Medigap provides lower, more predictable out-of-pocket costs based on your selected plan.
Medicare Advantage:
- Part B Premiums: You must have Medicare Parts A and B and pay the Part B premium to enroll.
- Monthly Premiums: Some Medicare Advantage plans have no additional premium, though the average monthly premium is $18.50.
- Out-of-pocket costs: Medicare Advantage plans tend to have lower premiums but may come with higher out-of-pocket costs, including copayments and coinsurance.
Medicare Advantage vs. Medigap: When Can You Enroll?
Medigap:
You can buy a Medigap policy anytime after enrolling in Medicare Parts A and B. However, it’s best to enroll during the six-month Medigap open enrollment period, which starts when you turn 65. During this period, insurers cannot deny you coverage or charge higher premiums based on preexisting conditions.
Medicare Advantage:
- Initial Enrollment Period: You can join a Medicare Advantage plan within three months before to three months after turning 65.
- Annual Enrollment Period: This period runs from October 15 to December 7 each year, allowing you to join, switch, or drop a Medicare Advantage plan.
Which One Should You Choose: Medicare Advantage vs. Medigap?
Choosing Medicare Advantage vs. Medigap depends on your healthcare needs, preferences, and financial situation. Our AHIP-certified team at Skyline Benefit can guide you through the options, ensuring you select the best plan to meet your healthcare requirements.
Need Help Choosing Between Medicare Advantage vs. Medigap?
Skyline Benefit is an independent Medicare insurance broker that offers affordable and flexible Medicare options. Selecting the best Medicare insurance plans can be overwhelming; our mission is to simplify the process and help our clients every step of the way.
Schedule a consultation today. Call us now at (714) 888-5112