For years, the Medicare supplement plan of choice was Plan F. As of January 1, 2020, this plan was closed to new applicants.
Being in a plan that is closed to new enrollees has significant negative ramifications.
We have historical data on what happens with plans that are closed to new enrollees. In 2010, Plans E and J closed to new enrollees, who are generally 65 and healthy. People who were enrolled in Plans E and J prior to 2010 could stay on those plans.
Fast forward to 2021. Now all the people on Plans E and J are 76+ and in many cases, have extensive medical issues. Claims and premiums escalated dramatically.
To put it into more concrete terms, a 75 year old non-tobacco using man on a Plan G could expect his monthly premium to be in the range of $175-$200. If that same man were on Plan J (closed to new enrollees for 10 years), the premium could be $600 per month.
These two factors:
· historical precedence of Plan E and J premium escalation following 10 years of being closed to new enrollees
· medical underwriting requirement to move from one supplement plan to another
make this Special Enrollment Period to move from Plan F to Plan G a critical opportunity to seize.
The last day to utilize this SEP is June 30, 2021 so now is the time to move from Medicare supplement Plan F to Plan G.
Mary Jo Heins is a former medical practice manager. As an independent Medicare insurance agent, she now helps people with all facets of Medicare – objectively and fee free. www.medicareinsurancehelp.com 720-484-6946