If there is one thing that most people are afraid of, it is being sick. Unfortunately, this is not just because of the suffering that comes with illness, but also on account of the medical expenses being very high. If you don’t have a health insurance plan, you are bound to suffer financially and physically because you might not get the treatment you need. This is particularly more difficult if you don’t have a Medicare plan, which covers you when you retire. While there are different Medicare plans out there, Plan F has been very popular for quite some time. Yet, there is news that it is being phased out, here’s why:
This plan has been popular because of how comprehensive it is, offering many benefits that outweigh most other supplemental plans that you can get in most states. Like other supplemental plans, Medicare Plan covers out of pocket expenses like deductibles and copayments. This one can include 365 days of extra coverage for inpatient hospital costs after your main coverage runs out, deductibles for Part A and B, first three pints of blood, limited healthcare overseas in case of emergencies, and several other expenditures. This variety is why the plan has been in-demand by a lot of people. If so, why is it being discontinued?
It has been said that as of 2020, Medicare supplemental plans that cover Part B’s deductible will be phased out. A beneficiary of Plan A and B pays a deductible to receive any services under Medicare, which is why it makes sense that the same should be applied to supplemental plans like F. This currently applies to Plans C and F, but the good news is that if you already have one of those, you will continue to enjoy its perks. This change will apply to any new applications. This way, new enrollees will not be able to get a supplemental plan that covers Part B deductibles, but if you already have one of those plans, you still can.
Another reason why this change happened is that doctors had several problems with Medicare over the lack of proper compensation. They provide medical services, and they don’t get compensated, which often happened because of Medicare legislation including budget cuts. The problem escalated over the years and doctors threatened not to provide medical services, which is why the powers that be came up with the idea to properly reimburse doctors by getting the necessary funds out of this change, among other means.
Even if you have Medicare supplemental plans C or F, and you can still enjoy their perks, this change might affect you. It is quite possible that some carriers will increase the rates for those particular plans to ridiculous numbers, which is why you have to see your options and decide if this is the best way to go or if you need to change plans. The good news is you have other possibilities to explore, and you can still get one of the other supplemental plans which can help you with your medical expenses. They will not be able to cover out of pocket deductibles, though, and you will have to start paying them if you left Plans C or F.
Medicare Plan G is one of the best replacements that you can go for if you are enrolling for Medicare in 2020. It offers pretty much the same benefits as Plan F, except for the deductible coverage, which you will have to pay. This plan might differ from one state to the other, though, so you might want to consider checking state requirements before applying. There is also news that a version of Plan G with high deductibles might be available this year, so that is definitely something that you should keep in mind. You need to do your homework on this or any other possible plan, so you could find one that would cover your expenses while offering minimum out of pocket costs so you wouldn’t have to worry about money in your old age.
Medicare Plan F being phased out might be bad news for a lot of seniors, but it is a manageable problem. You can still use it if you are already enrolled, and this change won’t affect you, meaning that it’s there for as long as you need it. As for new enrollees, they will need to find alternatives so that they could get the extra benefits of a supplemental plan. Fortunately, there are many, you just need to choose one.