Senior Health Insurance

Deciding whether buying a Medicare Advantage policy is better for you than Original Medicare is a decision that you should make before you decide which Medicare Advantage is better for you. Many people are better off with Original Medicare after they compare the two types of plans.

Medicare Advantage policies often to a better job of meeting a consumer’s needs than a combination of Medicare parts A Medicare part B, a MediGap policy and a Prescription Drug Plan. This is true for several reasons, not the least of which is simplicity.

Medicare Advantage Plans are usually cheaper when compared to getting separate policies that cover the same medical services. This is, of course, a vote in the favor of the Medicare Advantage plans. However, there are other factors to consider.

Since the price is almost better if one chooses a Medicare Advantage policy, the choice between the two often is based on the network. A Medicare Advantage policy with very few exceptions, limits the doctors and hospitals that a policyholder can use to those in their network. (One exception is that emergency care is covered throughout the country.) Original Medicare and the supplemental policies can be used all over the country.

If you have a second home outside the servicing area of the Medicare Advantage policy or spend a lot of time traveling or visiting outside the area, Original Medicare and a Supplement will probably be better for you. However, if you are very healthy and are unlikely to need anything beside emergency care outside of the network, you may still a good candidate for a Part C Medicare Advantage policy.

If you have decided that you want a Medicare Advantage policy, you will need to compare plans and choose which policy to purchase. There are several factors that should probably enter into your decision making process.

One of these factors is the prescription coverage. You should be aware of the deductible and co-pays.

You should also be aware of the costs shares associated with all the medical benefits. Cost shares are deductibles, coinsurance payments and copayments.

As mentioned before, the network is an important factor. With very limited exceptions you will only be able to get emergency care when you are outside the network. So it is very important to be comfortable with the doctors and hospitals that accept payment from the plan.

Before comparing Medicare Advantage policies one should first compare Medicare Advantage policies with Original Medicare and a supplement. If one then decides to get a Medicare Advantage policy the next step is to look at the benefits, cost shares and the network before making a final decision.