Choosing Between Medigap Providers

[travelover]

I'm finally of Medicare age and need to pick a supplement plan. My state provides a list of insurers and I'm trying to decide how to choose between them, specifically for a plan F High Deductible. The Plans cost between $44/ month (Globe Life) and $90/ month (Premera).

What should I be looking for to make this decision? As the plans are standardized, the coverage has to be the same, but I'm sure some have poorer customer service. Any idea how to quantify that in advance? Other factors to consider?

 

[Just_Steve]

Pardon my ignorance, but if the plans are standardized why such a difference in price?

 

[travelover]

Pardon my ignorance, but if the plans are standardized why such a difference in price?

I was looking for answers, not more questions.

 

[Just_Steve]

Glad I could help.

 

[REWahoo]

As the plans are standardized, the coverage has to be the same, but I'm sure some have poorer customer service. Any idea how to quantify that in advance?

The reputation of the Medigap insurer in handling claims and other customer service aspects was a key factor - along with cost - in our decision of who to choose.

We looked at our state insurance commission website, which maintains statistics on the number of customer complaints for each insurer. That, along with our own personal experience, led us to go with BCBS (we both had BCBS coverage prior to going on Medicare).

 

[Blue Collar Guy]

I was looking for answers, not more questions.

hahahahahahaha

 

[easysurfer]

Pardon my ignorance, but if the plans are standardized why such a difference in price?

I've always had the same question.

 

[Blue Collar Guy]

My mother in law complained her insurance went up so i looked on line, seems in my state they were all the same overages, or at least i perceived them to be the same, we choose the cheapest. In my mind its like auto insurance company's , same insurance coverage just different prices. She stayed with the AARP coverage gap it was the cheapest.

 

[Just_Steve]

I've always had the same question.

I was looking for answers, not more questions.

Good thing you didn't ask.

 

[Blue Collar Guy]

Good thing you didn't ask.

Bwaaa,

 

[MichaelB]

The reputation of the Medigap insurer in handling claims and other customer service aspects was a key factor - along with cost - in our decision of who to choose.

We looked at our state insurance commission website, which maintains statistics on the number of customer complaints for each insurer. That, along with our own personal experience, led us to go with BCBS (we both had BCBS coverage prior to going on Medicare).

+1

I chose BCBS for DW's Medigap G last year. There was a long list of companies offering policies, but most were life insurance companies. Just a few were health insurers, and of those, none offered F or Hi-D F, and only two offered G. Having dealt with both over the past 5 years, the choice was easy.

I want a company that is experienced with health claims processing, and I have a feeling (no data to suppror) the life insurers are in this business for claims data to build marketing campaigns for their life products. Another consideration was DW not having to change policies in the future when I'm not around because a life insurer stopped selling MediGap policies.

One additional factor is insurers can price three different ways - Attained-Age rated, Issue-Age rated, and Community rated, so a lower price today may lead to a higher price a few years from now. You cannot compare prices without knowing which methodology they use.

 

[CRLLS]

What has been said. Reputation in customer service. It is not like they can deny you a claim. If Medicare covers it, so does your medigap provider. We chose BCBS for DW and I will join the same in November. I asked the agent about changing plans and possible underwriting. He told me that he had never had to do underwriting when changing a customer from one plan to another. They still have the right to underwrite.

We looked seriously about AARP/Humana as it was the only community rated plan offered in Illinois. All others were attained age. But we wanted the Plan F-HD and they did not offer it in Illinois. We looked also at Mutual of Omaha, they were cheap but I read too many complaints to consider saving a few bucks a month. YMMV.

If your state is like mine, one of the the state's websites will have a list of all licensed medigap providers available to residents, the plans they offer and the costs. It was a big help to us in deciding. We looked also at Mutual of Omaha, they were cheap but I read too many complaints to consider saving a few bucks a month.

 

[meierlde]

BTW if the plan is not community rated do check the premiums at age 75 and 80 just to see what they are. Some go up quite steeply.

 

[travelover]

BTW if the plan is not community rated do check the premiums at age 75 and 80 just to see what they are. Some go up quite steeply.

Excellent point. I did find out that in my area (SW WA), all plans are community rated.

 

[haha]

Excellent point. I did find out that in my area (SW WA), all plans are community rated.

I think all WA plans are community rated. Also, unless this has recently changed, you can go laterally from one plan to another on the same level without underwriting.
I have done this.

Ha

 

[travelover]

I think all WA plans are community rated. Also, unless this has recently changed, you can go laterally from one plan to another on the same level without underwriting.
I have done this.

Ha

Thanks. One agent told me this, but when I asked for a link, he backtracked and said that the ability to switch without underwriting was insurer specific -still probably more consumer friendly than other states.

 

[Ian S]

The AARP plans require AARP membership at least for the first year. Also the AARP plans include Silver Sneakers membership which lets you use certain gyms at no cost. That perk alone can yield a savings of $30/mo or so.