Medigap - Direct or Agent?

[foxfirev5]

I have just entered my sign-up window. My former Megacorp yesterday informed me that in order to maintain their funding support for Medicare I am required to go through their selected agent Via Benefits. I'm calling them today to see what the deal is.

Same here. DW and I must use ViaBenefits to get the annual corporate kicker. I might add that the cost was identical to what I could buy the same coverage going direct. I found ViaBenefits to be very helpful and did not try to sway us one way or another. In our case we settled on the UHC AARP Medigap G and a Wellcare 0 premium part D.

 

[DrRoy]

Same here. DW and I must use ViaBenefits to get the annual corporate kicker. I might add that the cost was identical to what I could buy the same coverage going direct. I found ViaBenefits to be very helpful and did not try to sway us one way or another. In our case we settled on the UHC AARP Medigap G and a Wellcare 0 premium part D.

That's pretty much what I have decided to do.

 

[big-papa]

This has been discussed on many Medigap threads, but some companies such as Mutual of Omaha will occasionally stop selling Medigap plans under one company name in the state and start selling cheaper plans under a slightly different company name in the state. They have closed the book and opened a new one for that state. So you have an older cohort in the closed plan and prices rise more quickly as no more younger folks are being added to it. Meanwhile the new plan is more aggressively priced to compete with other companies. Folks who can pass the underwriting and switch to a different plan may do so, but the sicker folks are stuck. This in the spirit of Medicare should be illegal, but in practice it’s a loophole and several companies take advantage of it.

In states that let you switch between Medigap plans once a year (but constrained to keeping the same letter number) this is not a problem. But many states do not have this option and after the first 6 months you are stuck with faster increasing rates unless you can pass underwriting and switch to a different plan.

Thanks - familiar with the concept, just didn't know it had a name (I'm a couple of years away still from Medicare, so only touching the outer reaches of it right now)

 

[sengsational]

Thanks - familiar with the concept, just didn't know it had a name (I'm a couple of years away still from Medicare, so only touching the outer reaches of it right now)

A.K.A. "sick duck pool". All the ducks that can fly (pass underwriting) leave the pool. Those that are sick, using lots of services and pushing rates up at speed, have to stay and pay the big increases.

 

[Texas Proud]

Same here. DW and I must use ViaBenefits to get the annual corporate kicker. I might add that the cost was identical to what I could buy the same coverage going direct. I found ViaBenefits to be very helpful and did not try to sway us one way or another. In our case we settled on the UHC AARP Medigap G and a Wellcare 0 premium part D.

I would just make sure that the quote they give is not more than what you can find elsewhere... not saying it is, but it was for me with Boomer Benefits...

 

[KarenF]

I am going to use Boomer Benefits as my agent because they will help if you have trouble with claims.

 

[RetiredHappy]

The last time we talked to Boomer Benefits, they said that they only dealt with certain insurance companies. The ones we had enquired about to do a price comparison, they said Boomer Benefits did not deal with them.

So, we simply DIY.

 

[meleana]

My husbands we went direct but with mine I used a broker and it was much easier going through the broker.

But I actually picked what I wanted and just told him to handle it. Then I transferred my husbands plan to him as well should we ever need him for some reason.

 

[DrRoy]

There is a consensus that UHC/AARP is a good way to go. I see in some paperwork from them that my Plan G would be $146/mo at 65, including an enrollment discount that goes away by 80. The "standard" rate for 65 is about $239. How do their rates compare in later years as this discount goes away?

 

[Texas Proud]

There is a consensus that UHC/AARP is a good way to go. I see in some paperwork from them that my Plan G would be $146/mo at 65, including an enrollment discount that goes away by 80. The "standard" rate for 65 is about $239. How do their rates compare in later years as this discount goes away?

I have it here somewhere but the letter they sent me had my premiums listed up till 80 or so... the only increase was 'inflation'..


So if no inflation IIRC it was 3% a year increase...

 

[sengsational]

There is a consensus that UHC/AARP is a good way to go. I see in some paperwork from them that my Plan G would be $146/mo at 65, including an enrollment discount that goes away by 80. The "standard" rate for 65 is about $239. How do their rates compare in later years as this discount goes away?

You could find out by posing as an 80 year old that is 100% healthy and getting prices.

 

[CRLLS]

There is a consensus that UHC/AARP is a good way to go. I see in some paperwork from them that my Plan G would be $146/mo at 65, including an enrollment discount that goes away by 80. The "standard" rate for 65 is about $239. How do their rates compare in later years as this discount goes away?

Here is just one abbreviated comparison of Plan G supplements available to me in 2023 based on what the Illinois SHIP site listed. I don't know the difference between UHC and AARP/UHC. The UHC one lists the AARP website. Maybe the basic plan G and the one with "renew active"? Most of us here simply will ignore MOO for sick-duck reasons. Determine for yourself how to use this information WRT aging prices.

 

[CWradio]

Here is just one abbreviated comparison of Plan G supplements available to me in 2023 based on what the Illinois SHIP site listed. I don't know the difference between UHC and AARP/UHC. The UHC one lists the AARP website. Maybe the basic plan G and the one with "renew active"? Most of us here simply will ignore MOO for sick-duck reasons. Determine for yourself how to use this information WRT aging prices.

Does Illinois have a birthday rule for switching Medigap insurance companies?

 

[CRLLS]

Does Illinois have a birthday rule for switching Medigap insurance companies?

Effective 2 years ago, it is a definitive yes but quite limited, not really much of an option IMO.

Each year, Illinois Medigap recipients between the ages of 65 and 75 will have a chance to change their current Medigap plan. The new policy must be of equal or lesser benefit. Additionally, the new policy must be from the same Medicare Supplement insurance carrier.

 

[Sangiovese]

Effective 2 years ago, it is a definitive yes but quite limited, not really much of an option IMO.

Agreed. The IL Birthday rule will not allow you to switch from a closed book with a particular company to an open book with the same company because they are not considered to be the same carrier. DW ran into this with MoO and could not switch without submitting for underwriting.

This means that the IL Birthday rule does nothing for you when you end up in a closed book and want to switch without underwriting.

 

[audreyh1]

Agreed. The IL Birthday rule will not allow you to switch from a closed book with a particular company to an open book with the same company because they are not considered to be the same carrier. DW ran into this with MoO and could not switch without submitting for underwriting.

This means that the IL Birthday rule does nothing for you when you end up in a closed book and want to switch without underwriting.

Oh wow! That really stinks!

 

[CWradio]

Is it the obligation of the Medigap insurance broker to inform you that the company they suggested is been only selling this Medigap insurance for less than 5 years and it may go deadpool /close block of business?

 

[sengsational]

^I've never heard about a disclosure rule. Even if there were one, these are salesmen, they'd know how to tell you without telling you

 

[Koolau]

My situation was a bit different and I have no idea if such a service is available to everyone. Megacorp "did away with" our regular retiree healthcare benefit BUT they give us a chunk of money each year (sort of like a HSA) to obtain health insurance AND pay co-pays, deductibles, etc. We were given the name of a benefits manager and called them to see what was right for us in our State of residence. The process was lengthy (about 2 hours) to ask about conditions we have, drugs we take, etc.) Based on the phone interviews (his and hers) we each got our own medical and/or drug insurance (supplement to MC in our case.)

So, not an agent as such, but I believe we got the best at the time for our needs. Of late, we have received "pormpts" (phone and post card) that it might be to our advantage to check back in with the benefits manager again to see if coverage is still appropriate.

Good luck.

 

[CWradio]

Like to share a YouTube
The Hidden Truth to Finding the Best Medicare Supplement Company
www.youtube.com/watch?v=j66oGQqz2Mc

 

[sengsational]

Like to share a YouTube
The Hidden Truth to Finding the Best Medicare Supplement Company

I knew the above video was worthwhile because in the opening seconds, he mentions the business tactic for "closing the book". The video, using examples from Michigan which can, to some extent, be generalized to a wider geography, examines pricing as it relates to closing the book, as well as pricing of the different plan letters.

 

[teej1985]

Is it the obligation of the Medigap insurance broker to inform you that the company they suggested is been only selling this Medigap insurance for less than 5 years and it may go deadpool /close block of business?

Of course not. It's also important to note that some insurers are simply not available through agents because they are only available direct to consumer.. Do you want USAA Medigap? You will need to sign up through USAA. Do you want State Farm medigap? You will need to sign up through State Farm.