Medicare Supplement Plan And Medicare Advantage Plan

If you are turning 65, then you know how confusing this time in your life could be, at least when it comes to health insurance. The majority of people enroll in Medicare part A, B, and D at their 65. Medicare part A covers hospital stays, part B covers outpatient services like doctor visits while part D covers prescription drugs. But, you have to remember that Medicare is not a complete coverage. And this is why it is recommended to invest into supplemental coverage.

Today there are Medicare supplement plans and Medicare advantage plans. You cannot say that one plan is better than other, but still there are some differences between them.

Traditionally, a Medicare supplement plan is identified by letters from A to J. The plans act as secondary coverage to the Medicare. You are allowed to use your own hospitals and doctors. These plans are accepted anywhere Medicare is accepted. But, the plans do not cover prescription drugs.

If you need a drug plan, you will have to invest into a Medicare part D plan. Depending on where you live and which company you choose, you will spend about $120 a month for your Medicare supplement plan. As well, you will still need to pay your medicate part B premium and part D premium each month.

A Medicare advantage plan acts as your main plan. It takes over your Medicare for a lack of a better word. With advantage plans you will have the choice of a PPO (Preferred Provider Organization) or an HMO (Health Maintenance Organization). As a rule, advantage plans are network based plans.

And a lot of companies allow you to go out of network, however you have to get permission first. As well you may need to get referrals to see a specialist. But, advantage plans include the Medicare part D and are more affordable than Medicare supplement plans.

Medicare plans are called-for today. But they cannot cover all the issues. That’s why there have appeared Medicare supplements like Medigap. Those who are in Colorado and can apply for Medicare might be also interested in Colorado Medicare Supplement and Colorado Medigap.