Is Medigap or advantage better?

Asked by: Prof. Price Swift MD  |  Last update: November 8, 2023
Score: 4.3/5 (59 votes)

Consider your priorities, like budget, choice, travel, and health conditions. While Medicare Advantage can be more affordable for people with long term health issues, Medigap gives you flexibility and choice by expanding your network.

Why get Medigap instead of Medicare Advantage?

The biggest difference between Medigap and Medicare Advantage is that with a Medigap plan, you have the freedom to see any doctor that accepts Medicare, whereas with Medicare Advantage, you must get care within the plan's network of doctors and hospitals unless it's an urgent or emergency situation.

Why choose Medigap over Advantage plan?

The biggest advantage of Medigap may be your choice of doctors. You have more doctors and hospitals to choose from since you can go to any provider that accepts Medicare. If your doctor is not in a Medicare Advantage plan you're considering and you don't want to switch doctors, you may want to consider Medigap.

Do most people have Medigap or Medicare Advantage?

Nine in 10 people with Medicare either had traditional Medicare along with some type of supplemental coverage (51%), including Medigap, employer-sponsored insurance, and Medicaid, or were enrolled in Medicare Advantage (39%) in 2018 (Figure 1).

Do I need Medigap if I have Medicare Advantage?

A Medigap policy is a supplement to Original Medicare coverage. When you're getting started with Medicare, you can either buy Medigap or enroll in a Medicare Advantage Plan, but you can't have both. If you have a Medicare Advantage Plan, you can't buy and don't need a Medigap policy.

Medicare Advantage vs Medicare Supplement Plans in 2023! What’s best for you? 🤔

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Can I switch back from Medicare Advantage to Medigap?

Your Medicare Advantage (MA) plan terminates coverage. In this case, you can return to Original fee-for-service Medicare with Medigap, but you must apply within 123 days of the end of your MA plan benefits. You move outside your MA plan service area. You must apply within 63 days of moving.

Why seniors are choosing Medicare Advantage?

Many Medicare Advantage plans offer additional benefits, such as money toward dental or vision care, which isn't covered by Original Medicare. About 1 in 4 people say extra benefits pushed them to choose Medicare Advantage, according to a survey by the Commonwealth Fund, a health care think tank.

Is Medicare Advantage better or worse?

For many seniors, Medicare Advantage plans can work well. A 2021 study in the Journal of the American Medical Association found that Advantage enrollees often receive more preventive care than those in traditional Medicare. But if you have chronic conditions or significant health needs, you may want to think twice.

Why is Medicare Advantage popular?

Medicare Advantage has a proven track record of reducing costs and improving care as an effective public-private partnership between health insurers and the government.

Can I switch from an Advantage plan to a Medigap plan?

You can change to Medigap while still enrolled in a Medicare Advantage plan. However, you'll almost always have to switch during one of these specified periods: Open Enrollment Period: January 1st – March 31st. Annual Election Period: October 15th – December 7th.

Why are Medigap plans priced differently?

Age: Medigap premiums are often based on the age of the enrollee. Older individuals may be charged more for a Medigap plan than younger individuals because they are considered to be at a higher risk for medical expenses. Location: The cost of Medigap plans can vary depending on the state in which the individual lives.

What is the Medigap donut hole?

Most Medicare drug plans have a coverage gap (also called the "donut hole"). This means there's a temporary limit on what the drug plan will cover for drugs. Not everyone will enter the coverage gap.

Do most people choose Medicare Advantage?

The proportion of eligible Medicare beneficiaries enrolled in Medicare Advantage plans has hit 48 percent.

Are Medicare Advantage patients healthier?

Historically, Medicare Advantage beneficiaries have been healthier than those in the traditional program, but this seems to be changing: beneficiaries now have similar characteristics and experiences regardless of coverage.

Is Medicare Advantage going away?

While there are no current plans for the Medicare Advantage program to be phased out, in some situations, your Part C coverage may end through no fault of your own.

What percentage of people choose Medicare Advantage?

More than 28 million Medicare beneficiaries – 48 percent of all eligible beneficiaries – are enrolled in Medicare Advantage plans, which are mostly HMOs and PPOs offered by private insurers.

Who is the best candidate for a Medicare Advantage plan?

The Medicare Advantage plan may offer a $0 premium, but the out-of-pocket surprises may not be worth those initial savings if you get sick. “The best candidate for Medicare Advantage is someone who's healthy,” says Mary Ashkar, senior attorney for the Center for Medicare Advocacy.

What percentage of people get Medicare Advantage?

Between 2019 and 2023, Medicare Advantage enrollment has grown by 2.1 percent. As of January 2023, 48 percent of all Medicare beneficiaries are enrolled in Medicare Advantage, translating to 30.7 million people. Medicare Advantage enrollment growth continued at a rapid pace, adding 2.7 million beneficiaries in 2023.

Can I return to regular Medicare from an Advantage plan?

If you joined a Medicare Advantage Plan during your Initial Enrollment Period, you can change to another Medicare Advantage Plan (with or without drug coverage) or go back to Original Medicare (with or without a drug plan) within the first 3 months you have Medicare Part A & Part B.

What is the difference between Medicare Supplement and Advantage plans?

Medicare Advantage and Medicare Supplement are different types of Medicare coverage. You cannot have both at the same time. Medicare Advantage bundles Part A and B often with Part D and other types of coverage. Medicare Supplement is additional coverage you can buy if you have Original Medicare Part A and B.

Can you cancel a Medicare Advantage plan at any time?

If you're in a Medicare Advantage plan with or without Part D coverage, you can: Switch to another Medicare Advantage plan with or without Part D coverage, OR. Disenroll from your plan and return to Original Medicare anytime between January 1 – March 31.

Does Medicare pay anything if you have an Advantage plan?

Medicare Advantage Plans must cover all of the services that Original Medicare covers except hospice care. Original Medicare covers hospice care even if you're in a Medicare Advantage Plan. In all types of Medicare Advantage Plans, you're always covered for emergency and urgent care.

What are the rules to have a Medicare Advantage Plan?

Who Qualifies for Medicare Advantage? You are eligible for a Medicare Advantage plan if you have Original Medicare (Part A and Part B). Even those on Medicare under 65 due to disability may enroll. You may sign up for a Medicare Advantage policy if you live in your chosen plan's service area.

Is Medicare Advantage risk based?

First, Medicare Advantage plans bid against FFS Medicare county benchmarks to determine payment. CMS adjusts benchmarks based on the average FFS Medicare risk score in the county. These adjusted benchmarks represent the maximum amount CMS will pay to an individual plan.