Finding the right Nevada Medigap plan can be tedious! Fortunately, Medigap plans have standardized rules set by the Federal Government. Understanding these rules will help you determine which plan and insurance company is best for you.
The Basics
Medigap plans are commonly referred to as Medicare Supplement plans. Every Nevada Medigap plan must follow these basic rules:
- You must be 65 or older to enroll.
- Applicants must be enrolled in both Part A and Part B of Medicare.
- Your permanent home address must be in Nevada.
- Every Medigap plan works with any doctor who accepts Medicare Assignment. The list of these doctors can be found on www.medicare.gov.
- All Medigap plans have the same medical benefits. For example, the Plan G has the same medical coverage with every insurance company. (Note: Some insurance companies will include value added benefits like $0 gym memberships or vision coverage. These value added benefits are not required and can be included at the discretion of each insurance company).
- The Federal Government approves and denies claims, not the insurance company.
Which Plan is Best?
Every person has unique needs so it is hard to recommend a single plan for everyone! In general, our office recommends enrolling in the Plan G. The Plan G is the highest benefit plan available to anyone turning 65 after January 1st, 2020. If you are enrolled in the Plan F, you may want to consider switching to a Plan G. To learn more about the Plan F vs. the Plan G, please click here.
Which Insurance Company is Best?
Once you decide on the Plan you want, now it is time to shop for the right insurance company. Most people shopping at 65 look for the plan with the lowest rate and the most value added benefits. Savvy shoppers and brokers will tell you that shopping with this mindset is the wrong approach. When shopping for the right Nevada Medigap plan, you want to take the following into consideration:
- Historically, does the insurance company have high or low rate increases? The most competitive carriers will increase rates at roughly 3 – 5% each year. Some carriers will give you ‘teaser rates’ at 65, but then levy high premium increases as the years go on.
- Does the insurance company market heavily to consumers? It is a good idea to look at the marketing practices of each insurance company. These marketing practices will give you a good idea of how each carrier wants to build their risk pools. Also, carriers who are aggressively marketing to people may have lax enrollment guidelines. Carriers who are loose on underwriting and preexisting conditions absorb a lot of risk which translates into higher premium increases throughout the years!
Simply put – shopping for the right plan is not about your needs at 65. Assessing premium trends and other financial factors will make sure your Nevada Medigap plan fits your needs for years to come.
