North Dakota Medicare Supplement

If you are living in North Dakota and are turning 65 years old soon, then it is the right to start planning for your retirement. This will most likely include enrolling in a Medicare program and seeking out the right type of Medicare Supplement plan that would help sustain your health in your twilight years. While a lot of us may already have some funds set aside for old age, having an insurance policy to handle healthcare emergencies gives us greater peace of mind. After all, isn’t one’s retirement fund intended for actually enjoying life after years and years of working? A North Dakota Medicare supplement can be your saving grace when a health crisis does happen in the future.

What You Need To Know About Medicare Supplements

A Medicare supplement plan (called Medigap for short) is a health insurance policy that is designed by the federal government but sold through private insurance agencies. As its name states, it is a supplement to the Original Medicare program that every U.S. state offers to its residents. Because the federal government is unable to finance all of the healthcare needs that a senior citizen or disabled person might have, it created Medigap plans of different tiers to help ensure that all Americans get the assistance they need when they go beyond 65 years. 

This means that regardless where you are, whether in North Dakota or any other state, your Medigap privileges are the same and consistent no matter which private insurer you sign up with. All of the plans offered are designed to cover some or all of the costs related to copayments, coinsurance and deductibles, depending on the policy you have. Besides the level of coverage, the only other notable difference among such plans is the pricing—but more on how Medicare supplement plans cost later. 

Who Is Qualified?

To be eligible to apply for any Medigap insurance plan, you must first be enrolled in Original Medicare Part A and Part B. Being a supplement, such policies are intended to function in conjunction with the government-provided programs, so while Medigap is entirely optional, given the rising cost of healthcare in the U.S., having one seems to already be necessary. Medicare A and B are offered to US citizens or permanent legal residents who are the following: 

– Person aged 65 years and up

– Diagnosed with permanent kidney failure requiring lifetime dialysis or transplant (End-Stage Renal Disease)

– Diagnosed with ALS (Lou Gehrig’s disease)

– Persons with disability who have been receiving SSA or RRB benefits for 24 months consecutively

If you had been working for 10 years or more, enrollment to Medicare A will be automatic and monthly premiums are free. In addition, in most cases, one is also automatically enrolled to Medicare Part B—only you will need to pay a monthly fee. If you do decide to add a medicate supplement plan to your coverage, then be aware that the monthly premiums you will pay for this will be on top of what you are already paying for your Part B policy. It may feel like a heavy additional cost at first, but its merits in the end far outweigh not having a Medigap plan to keep you secure—especially at this time when the costs of wellness and treatments are increasing. 

How Medigap Plans Are Priced

There are several ways private insurance companies price their Medigap policies, and it is important to know how your provider of choice sets premiums so that you can be prepared for any changes in fees in the future. Once again, the benefits included in every Medigap plan are the same across the United States, but the government has allowed private companies to set their own pricing in view of the economic climate in their area, whether or not they want to sweeten their packages with add-on services, or any other reason. 

Here are the typical ways agencies determine the monthly pricing for Medigap plans.

1. Issue-age rated (entry age)

In this system, premiums are lower for those who purchase when they are younger—and these will not change as one’s age increases. The monthly premium is based on the age you are when you purchased your policy. 

2. Community rated (no age)

In this pricing system, monthly premiums are not based on one’s age and the same premium is charged to anyone who has a Medigap plan, regardless of gender or age. Premiums might increase in the future due to inflation and other economic factors but not because you grew older. 

3. Attained-age rated

This method is based on your current age, which means that your monthly fees will go up as your age advances. The good thing about this is that premiums are low for the younger policy owners. For example, if you purchase a Medigap plan at 65 years for $120 per month, your premium could become $126 when you turn 66, then $132 when you turn 67, and so on.

Finding out how your provider determines it’s pricing, by reading the fine print on your policy or simply asking them about it prior to signing, is important because funds might not flow steadily in the future. 

Medicare Supplement in North Dakota

There are plenty of private insurance agencies that offer Medicare Supplement plans in North Dakota, so you will not have a hard time looking for potential choices and comparing their offerings and rates. The state belongs to the one of the pricier locations to purchase a policy, with the average monthly cost at $130.33 and the average annual cost at $1,564. To compare, the lowest average pricing for Medigap programs in the U.S. are in Hawaii (at around $109.16 per month or $1,310 per year) and the highest ones are in Massachusetts (at $162.25 per month or $1,947 per year). 

Also, remember that not all insurance providers carry the complete lineup of Medicare Supplement policies and some might only sell those that they feel have a market in their respective locations. Regardless, all companies are required by law to make Plan A (the most basic plan) available, as well as either Plan C or Plan F (to those who are not new to Medicare) and Plan D or Plan G (to those who are new to Medicare).

Need More Help?

If the concept of Medicare Supplements is new to you, then surely you will have plenty of questions about how it works, how you can enroll, and how you can maintain one. Our team of Medigap experts will gladly guide you through the entire selection and decision-making process, so that you can land the best possible Medicare Supplement policy that suits your budget and healthcare needs. Do not hesitate to get in touch with us at 1-800-791-0150.