It’s that time of year again – football, Fall and Medicare Open Enrollment! October 15th through December 7th is your opportunity to take a fresh look at your Medicare coverage to make sure you’re getting the most bang for your buck. Here are 3 things to do:
1. Review Your Part D Prescription Plan: Did you know your Plan can change which drugs they cover and how much they reimburse every year? It’s called a formulary change. What might have been a great plan a few years ago might not be so great anymore. Do yourself a favor and check out the Medicare Plan Finder tool that lets you input your medications and see which plan provides the best coverage. One client saved her mom over $700/month on Alzheimer’s medications simply by changing plans.
2. Take a fresh look at Medicare Advantage: Advantage plans come with a lot of…advantages! They have very low or $0 premiums, and most cover dental, vision and hearing, which most Medicare Supplement plans do not. They also include prescription coverage. In an Advantage plan, rather than high monthly premiums, you’re willing to pay a co-pay for doctor and hospital visits. But the co-pays are capped with annual out-of-pocket maximums to protect you from large expenses. And if you don’t like Advantage, you can switch back to traditional Medicare within the first 12 months.
3. Price shop your Medicare Supplement Plan: while it is true you can do this step year-round, Open Enrollment is still a great time to take a fresh look. And remember that by law, every insurance company has to offer the same benefits for a specific plan – so a Plan G benefit is the same wherever you go; you’re simply price shopping for the lowest premium with the company that has the strongest renewal rates.
And don’t forget the good news about caps on annual out of pocket prescription costs that are kicking in for 2024 and 2025, thanks to the Inflation Reduction Act. Previously, retirees could spend tens of thousands of dollars a year on expensive chemotherapy drugs and rheumatoid arthritis drugs, for example. But no more - annual out of pocket prescription costs will be capped at about $3,300/year in 2024 and $2,000/year in 2025.
If this all sounds great, but a little overwhelming, Rick Austin, in our office can help. He is an independent Medicare insurance specialist, which means he is beholden to no one insurance company. He can simply look across all insurance companies to find the right answer for you. His expertise comes at no cost or obligation - so you can take the monthly savings he may find you and use it for something fun instead! Call him directly at 865.599.1323, or email him at raustin@marshwealth.com .