The Importance Of Learning About Medicare Options Before Age 65

It's important to learn about the various options for Medicare insurance before a person turns age 65. The exception is people of this age who are still working and are happy with their employer's health insurance. They may prefer to delay enrolling.

Examples of Options

Medicare has numerous supplements that seniors can choose if they want additional coverage not included in the traditional program consisting of Parts A and B. An example is Part D, which is a prescription drug plan.

In addition, enrollees can buy a plan that covers any gaps in their insurance. These are known as Medigap plans.

A further complexity of the decision-making process is the option to select Medicare Advantage, an alternative to traditional Medicare. This plan is provided by private insurers and partially paid with federal funds. Advantage plans are Part C of the federal program. 

Premiums

Part A is free for most men and women because it is connected with the Social Security retirement benefits program. People who have paid enough Social Security taxes during their working years qualify for premium-free Part A. Other plans come with premiums. Some policyholders do not pay a premium for Part C, but they have higher out-of-pocket costs for healthcare.

Prescription Drug Coverage

Even though a senior citizen may not be taking any prescription medication regularly when first enrolling in Medicare, it's important to consider the odds. People in this age group are more prone to developing health issues that require prescription drugs either temporarily or for the rest of their lives. Some drugs are relatively inexpensive, such as blood pressure regulators and statins for lowering cholesterol levels. Other medications, however, cost substantially more.

Seniors can enroll in Part D once they need it. However, they must continue paying for the medication out of pocket until their application is approved and the coverage begins. The medicine may be expensive, creating a difficult situation for men and women who are struggling financially. 

In addition, late enrollment in Part D may come with a penalty that makes the premium higher. That penalty is connected with the number of months the person was not enrolled. This penalty continues as long as the person has a Part D plan.

Concluding Thoughts

Learning about Medicare and signing up for coverage isn't a pleasant project for everyone. That's true even for people who don't have sufficient medical insurance and look forward to becoming eligible for this federal program. Nevertheless, becoming informed and making an educated decision helps consumers make the best choice for their own personal situation. To learn more information about medicare, reach out to a company such as Blueprint Insurance Advisors.