Alabama Medicare Supplement
Alabama residents who are turning 65 years old soon should start planning to sign up for Medicare insurance and then consider following up with a Medicare Supplement policy. Original Medicare already offers a robust range of benefits for Americans in their old age, but it does not cover most of the possible health-related situations that you might get into at this life stage.
As you’re not getting any younger, enjoying stellar health is not guaranteed. By bulking up your Medicare package with a Supplement, you shield yourself from expenses that would otherwise eat into your retirement fund.
There are 10 Medicare Supplement plans you can choose from, all of which are standardized by the federal government. Unlike Original Medicare, which you acquire directly from the state, Medigap policies are sold through private insurance agencies. This means that pricing may vary depending on the provider and your location.
However, the upside is that the list of benefits is the same regardless where you are. This is the government’s way of ensuring that all seniors get the same level of benefits. There are three states have uniquely-structured Medicare Supplement programs (Minnesota, Massachusetts and Wisconsin), but the ones offered in Alabama are the same as those anywhere in the U.S.
Senior Citizen Numbers In Alabama
The U.S. Census Bureau estimates that the state of Alabama will have around 4.9 million residents in 2019, placing it at the 24th spot in terms of population. Of the around 3.75 million adults, 762,000 are senior citizens. This number is expected to increase rapidly by more than half a million by the year 2040. This can be viewed two ways: businesses will be glad to see a huge demand in senior care services and facilities, while the state might also see this as a challenge in terms of providing healthcare services and assistance.
Medicare for Senior Citizens in Alabama
Medicare Supplements are available to Alabama seniors aged 65 years and who are also enrolled in both Original Medicare Part A and Part B. There are two important schedules that incoming seniors should watch out for when they are enrolling for the first time: Initial Enrollment Period (IEP) and Open Enrollment Period (OEP).
IEP is the seven-month period before and after your 65th birth month. This covers the 3 months before the month you turn 65 and the 3 months after it. If you are not auto-enrolled to Original Medicare, or must pay a premium for Part A coverage, you may sign up during the IEP period. However, if you miss IEP, you will need to enrol during the General Enrollment Period, which begins in January 1 and ends March 31 every year. The GEP schedule does not change and it covers both Original Medicare Part A and Part B.
The Open Enrollment Period applies to Medicare Supplements, which you may apply for the moment you are enrolled in both Original Medicare Part A and B. OEP is a six-month window that begins on the first day of your 65th birthday month. For example, if are turning 65 on July 5, your OEP starts July 1 and ends six months after.
During this period (OEP), your Medigap application is guaranteed approved and insurers will not require you to undergo any medical underwriting or charge higher fees for any reason. However, if you miss the OEP, you can be denied a policy or be asked to pay higher monthly premiums.
Alabama Medicare Supplement Restrictions
There are dozens of firms that sell Medicare Supplements seniors in Alabama, so do you research and compare offerings to see which one fits you best. Be sure to sign up during your designated schedule to avoid penalty charges and late fees.
Medicare and Medicare Supplements do not take care of all the healthcare requirements of seniors, but having them is a lot better than not getting one. Do bear in mind that they do not cover vision or dental care, long-term care (as in a nursing home), hearing aids, private-duty nursing, and prescription eyeglasses. If you want coverage for these, you may purchase them as extras. Some insurers in Alabama offer a discounted rate for non-smokers, spouses, female buyers, or groups. If you purchase independent policies other Medigap, the insurance company might also offer special pricing.
Cost of Alabama Medicare Supplements
The average cost of Medicare Supplements in Alabama is $135.58/month, or $1,627/year. The highest average of $162.25 and $158.66 are recorded for Massachusetts and Nevada, respectively, although Massachusetts has a unique Medigap structure unlike other states. Hawaii has the lowest average at $109.16 per month.
The actual price of your Medigap plan will depend on the type of policy that you avail and the insurance company selling it. While the government requires that all Medicare Supplements have the same benefits across the country, regardless of the seller, the companies are allowed to set their own premium rates as they see fit. Thus, it cannot be emphasized more that you do your comparisons first or consult an expert Medigap advisor to know your best options.
Important Changes Happening To Medigap
There are certain changes coming to Medigap guidelines in the next years. Starting January 1, 2020, Medigap plans will no longer cover the Part B deductible. This means that Plans C and F will no longer be available to new enrollees. If you have already signed up for these plans, then you may continue to use them without any issues. Trying to understand the do’s and don’ts of Medicare Supplement plans can be overwhelming, particularly to new enrollees or those who are looking to switch polices. Our expert team of licensed Medigap advisors are happy to assist with all Medicare Supplement related inquiries for Alabama, as well as guide you through the whole selection process. You may contact us at 1-800-791-0150.
