Medicare Plan Options for People with Low Incomes

Medigap is also known as Medicare supplement plans. It may be helpful for lower income people as well as the Medigap plans cover expenses of the Part A and B, Traditional Medicare. These expenses include coinsurance, copayments, and deductibles.  However, the Medigap plans do not need any routine medical services.

There is a drawback of Medigap plan and it is that the monthly premiums may be expensive for people who have limited incomes. It is based on the plan type and beneficiary geographical location. In addition, the Medicare supplement plans do not include the Part D, the prescription drug coverage, and this indicates the beneficiaries should get enrolled in a prescription drug plan as stand-alone so that there is medication cover. A beneficiary can enjoy a separate monthly premium and prescription drug plan apart from the Medigap that requires monthly premium.

The beneficiaries in the lower income take a different approach to get enrolled in Medicare Advantage plan and to get Medical coverage. The Medicare Advantage Plans are different from Medicare supplement plans and this gets added to Part A and B, original Medicare. The Medicare Advantage Plans provide the same coverage as Part A and B, in addition to the Original Medicare, while the Medicare benefits are received through private plan.

Remember that a beneficiary must not have concurrently a Medigap and a Medicare Advantage plan. So, in case you enroll in a Medicare Advantage plan, you will contact the insurance company to have your Medigap plan so that the plan is cancelled.

The Medicare Advantage plans monthly premiums may be lower in comparison to the Medicare supplement plans premiums, but may need copayments for some healthcare services, and this includes visits to hospitals and doctors.

Social Security benefits affect Medicare enrolment?

If you get Social Security benefits on turning 65, you are automatically enrolled in Parts A and B Medicare, even in case you are working. The two parts comprise to be known as Original Medicare. Thus, your Medicare card arrives in 3 months before the 65th birthday.

Once you are enrolled in Medicare, a Part B premium monthly gets automatically deducted from the Social Security check. In case you do not wish to have Part B Medicare, you must notify Medicare and opt out. People wait to claim Social Security as they are 66 or older and to increase monthly benefits. If you want your Medicare coverage to start on turning 65, you should get enrolled yourself as it does not happen automatically.