Rhode Island Medicare Supplement
As people near the senior citizen threshold, the more they are unable to cope with their medical and general healthcare expenses, given that most can no longer physically work or are nearing retirement. Those who have managed to prepare for life after employment are fortunate because they will have the funds to pay for their maintenance meds and whatnot. But is that money really just for spending on medical expenses? How about those who have very minimal to zero retirement savings?
Medicare is a health insurance program mandated by the federal government to ensure that all American seniors and persons with disabilities get uniform access to basic healthcare services wherever they are. Part A covers hospital insurance, while Part B takes care of medical insurance. If you are relatively healthy, Medicare will suffice. However, given the rising cost of medical needs and the fact that most seniors inevitably experience some type of ailment with advancing age, supplementary insurance becomes more of a necessity than an option. This is where Medical Supplements or Medigap plans come in.
What Medicare Supplements Cover
There are 10 Medigap policies, all regulated by the federal government, although they are sold through private insurance agencies. Medigap plans were created as a way for the state to ensure that key healthcare services are reaching its senior citizens but without the heavy cost on the country’s healthcare budget. The coverage of such plans are uniform across all states and they will only differ in terms of monthly premium fees (and possibly other extras that the insurance company might want to include).
Here are the basic inclusions of Medigap policies. Note that some shoulder all of these benefits, while others cover only the bare minimum.
– Medicare Part A coinsurance and hospital expenses
– Medicare Part B coinsurance or copayment
– First 3 pints of blood
– Part A hospice care copayment or coinsurance
– Part A deductible ($1,364 in 2019)
– Part B deductible ($185 in 2019)
– Skilled nursing facility care coinsurance
– Part B excess charges*
– Foreign travel emergency costs (up to plan limits only)
*Part B excess charges happen when a doctor charges more than what Medicare has approved, with a maximum of 15%. It is recommended that you consult with a doctor or clinic that accepts Medicare Assignment to avoid the headache of filing claims later on.
What Medigap Does Not Cover
Not all healthcare and medical bills are covered by Medicare and Medicare Supplement insurance. Generally, it does not shoulder expenses related to long-term care, as with a nursing home. Also not included are dental and vision care, private-duty nursing, eyeglasses, and hearing aids. If you wish to avail of such policies, you will have to speak to your insurance provider about having these as riders to your existing Medigap policy or purchase it separately.
It is also important to note that Medigap is not transferrable. Thus, if you are married, you and your spouse will have to purchase a plan separately, though you don’t really need to have exactly the same policy. You can certainly sign up for a plan that is suitable to your healthcare needs.
On the upside, insurers typically provide a discount for couples who acquire policies from the same company. You might also get special pricing if you are a non-smoker, are relatively healthy at the time the policy was purchased, or if you buy some other private plan beyond the Medigap programs you are eyeing. Be sure to ask your preferred provider about its discounted rates, as you might also get some if you purchase as a group with other family members or friends.
Senior Citizen Statistics in Rhode Island
According to the World Population Review, there are 1,057,000 people in Rhode Island. This is despite it being the smallest in the country in terms of land area. Of this number, around 846,000 are adults, and 170,00 of whom are senior citizens. Latest figures from America’s Health Rankings list Rhode Island as seventh in terms of the health of its elderly residents aged 65 years and up. Some of the categories where it ranked high include nursing home quality, health screenings, prescription drug coverage, dental care, and hospice care.
However, it is not without its senior health challenges, which include excessive drinking and depression, rising from 6.6% in 2018 to 7.9% in 2019 and from 15.3% to 16.9%, respectively. Twenty-eight percent of seniors are also obese, up 12% from the previous year. These numbers are significant because it gives us a picture of how senior citizens in Rhode Island are living.
Cost of Medigap Plans in Rhode Island
Given the above figures, it is of no surprise that Rhode Island is in the top 10 of highest average monthly premiums for Medicare Supplements. The average Medigap plan in the state costs around $151 per month, or $1,812 per year. For comparison purposes, the highest average is logged in Massachusetts ($162.25 per month), while the lowest is recorded in Hawaii ($109.16 per month).
These figures are mere averages of actual monthly pricing for Medigap plans, as rates differ depending on the insurance provider. This is why it’s important that you should compare prices and shop around first to see which insurers are offering Medigap in your area, which plans they have available and other factors that might affect service and pricing.
When to Apply for a Medicare Supplement Insurance
The ideal time to apply for a Medigap plan is during your Open Enrollment period. The OEP is a six-month period during which insurance agencies are required to approve your application, regardless of your past or current health status. In fact, you will also not be required to undergo any medical underwriting. You can apply for any Medigap plan and be guaranteed approved and charged according to regular rates. However, if you miss this period, insurers can reject your application or charge you a higher monthly premium following an assessment.
The OEP starts on the first day of the month that you turn 65 years old. Thus, if your 65th birthday is on August 5, then your OEP begins August 1 and ends six months after.
Still have questions about Medicare, Medicare Supplements and how these benefit you? Our team of licensed advisers are happy to assist with anything. They can also help you decide on the best Medigap plan for your specific healthcare needs and budget. Contact us at 1-800-791-0150 .
