Medicare Articles

The Reports of Medicare Advantage’s death has been greatly exaggerated

03/21/2012 Every year, some healthcare “experts” predict the demise of Medicare Advantage plans. They shout that reimbursement cuts would drive most of these plans out of business. Time for reality to sink in.  Just the opposite is happening. Membership in Medicare Advantage continues to grow. Enrollment in these plans grew by 7 percent from 2010 to 2011; the Centers for Medicare & Medicaid Services estimates at least 10 percent growth for 2011 to 2012.   Further evidence: In late 2011, Cigna just purchased Bravo Health, a dominant Medicare Advantage player, for $3.8 Billion. What’s the reason for continued popularity of Medicare Advantage plans? Perhaps the main reason may be that baby boomers, who are beginning to age into the Medicare program, are already accustomed to managed care plans like HMO’s and PPOs, which they likely had through employer group coverage. According to Gorman Health Group, 41 percent of Medicare age-ins choose to enroll into Medicare Advantage plans. Older seniors are more likely to prefer plain old fee-for-service Original Medicare.  A second reason for the growth of Medicare Advantage plans: often times the premium is substantially lower than a Medicare Supplement Plan. So Medicare Advantage plans, contrary to some pundits, are alive and well.  How will healthcare reform and Congrees affect these plans in the future? Stay tuned. But for now, it should remain a viable option.

Update on Medicare Supplement Plans

03/28/2012 Meeting with individuals in the Philadelphia area who are turning 65, the vast majority of those people choose one of four Medicare Supplement Plans- Plan C, Plan F, Plan G or Plan N. Plan N is a new plan, just rolled out in June, 2010. We are seeing more and more individuals choosing Plan N. Premiums are approximately 30% lower than the other plans, while still providing very strong coverage.  Yes, you are responsible for the annual part B deductible (in 2010-$140), $20 co pay for doctor visits, and a $50 co pay for emergency room visits. However, unless someone is seeing a great abundence of doctors, the premium savings normally outweighs these small co pays. AARP, CSI, and  Aetna, have very competitively priced plans.

Attention Philadelphia Residents who are Turning 65:

04/14/2012 If you live in Philadelphia or the suburbs, Independence Blue Cross has a new Medicare plan worth exploring. The Keystone 65 Select plan offers great coverage, at a very low premium. It also offers Silvers Sneakers, the free gym membership. You can add dental, vision and hearing aids package for only $10 more per month. If you are looking for a low cost Medicare Plan, this might fit your needs well. Any questions, just call (215) 658-1776.

Healthcare Reform & Your Medicare Decision

04/25/2012 When I meet with someone, usually concerning Medicare Plans in Philadelphia,  who needs to make a Medicare decision, often times I am asked this question: what should I do in light of potential changes in Medicare? What happens if the Supreme Court strikes down the law? What’s going to happen to Medicare?” These are are good questions, and unfortunately, there is not a correct answer. The situation is extremely fluid, and the experts really do not know how things will shape out. I truly believe that there will not be radical changes, at least not for those seniors who will be turning 65 in the next several years. So if you are exploring an AARP Medigap Plan, or a Keystone65 Medicare Plan, you should make your decisions based on today’s information, and not based on future what ifs.