Big Changes for Medicare Advantage
Pay Attention on October 15, 2011
Big changes are coming to Medicare Advantage plans. They begin October 15, 2011.
For some time there has been talk about the fact that Medicare Advantage Plans cost the government billions of excess dollars annually. However, it seemed that these plans would not change and would be available for quite awhile.
Because of our current national financial situation, plans are in the works to cut the supplements to Medicare Advantage Plan providers. This means that at some point in the not too distant future, Medicare Advantage Plans will no longer be profitable for the companies that provide them. When the situation gets to that point, many companies will no longer offer the plans.
Already many doctors refuse to take these plans because Medicare Advantage Plans do not pay them enough for their services, so even now, they are a bit of a gamble for people who enroll in them.
For enrollees, costs for most Medicare Advantage Plans haven't changed much, although the companies who run them have trimmed the benefits continually ever since their inception. Despite this, many seniors love their Medicare Advantage Plans because they are inexpensive or free and offer extra benefits not paid for by Original Medicare .
Up until this year,the enrollment period for all Medicare Advantage Plans started on November 15 and ran through December 31. Now the dates for the open enrollment period for all Medicare Advantage Plans have been changed. Starting in 2011, it begins October 15, 2011 and ends December 7, 2011. During this period, people may make any changes they like and as often as they like.
However, those who sign up for a Medicare Advantage Plan and then decide to opt out after the open enrollment period ends, can only do so between January 1 and February 14. At this time enrollees will not be able to switch to another Medicare Advantage Plan. Instead they will only be able to disenroll from their current Medicare Advantage Plan and then enroll in Original Medicare. If they do this, they can opt to purchase drug coverage (Part D), but this is not required.
Other changes are coming, but for now, those who are on these plans or who are thinking about signing up for one, should be forewarned. The changes will be slow, but this is the beginning of the end for Medicare Advantage Plans.
Sources:
Medicare.gov
NBC Nightly News
More From Sondra Rochelle:
Two Medicare Plans: One Clear Choice
For some time there has been talk about the fact that Medicare Advantage Plans cost the government billions of excess dollars annually. However, it seemed that these plans would not change and would be available for quite awhile.
Because of our current national financial situation, plans are in the works to cut the supplements to Medicare Advantage Plan providers. This means that at some point in the not too distant future, Medicare Advantage Plans will no longer be profitable for the companies that provide them. When the situation gets to that point, many companies will no longer offer the plans.
Already many doctors refuse to take these plans because Medicare Advantage Plans do not pay them enough for their services, so even now, they are a bit of a gamble for people who enroll in them.
For enrollees, costs for most Medicare Advantage Plans haven't changed much, although the companies who run them have trimmed the benefits continually ever since their inception. Despite this, many seniors love their Medicare Advantage Plans because they are inexpensive or free and offer extra benefits not paid for by Original Medicare .
Up until this year,the enrollment period for all Medicare Advantage Plans started on November 15 and ran through December 31. Now the dates for the open enrollment period for all Medicare Advantage Plans have been changed. Starting in 2011, it begins October 15, 2011 and ends December 7, 2011. During this period, people may make any changes they like and as often as they like.
However, those who sign up for a Medicare Advantage Plan and then decide to opt out after the open enrollment period ends, can only do so between January 1 and February 14. At this time enrollees will not be able to switch to another Medicare Advantage Plan. Instead they will only be able to disenroll from their current Medicare Advantage Plan and then enroll in Original Medicare. If they do this, they can opt to purchase drug coverage (Part D), but this is not required.
Other changes are coming, but for now, those who are on these plans or who are thinking about signing up for one, should be forewarned. The changes will be slow, but this is the beginning of the end for Medicare Advantage Plans.
Sources:
Medicare.gov
NBC Nightly News
More From Sondra Rochelle:
Two Medicare Plans: One Clear Choice
Published by Timetraveler2
I'm a retired educator and published author who has owned several successful businesses. I have been a cross country trucker, an antiques dealer, a real estate agent, a college admissions rep, an administra... View profile
A Consumer's Guide to Understanding MedicareUnderstand Medicare in 12 minutes or less and save money.- Medicare Advantage PlansWhatare Medicare Advantage Plans and why are they better than Original Medicare.
- Medicare Advantage - is it or Not?Basic Facts about Medicare and Medicare Advantage Plans to help you decide what plan is best for you.
- Healthcare: Insureres Dropping Medicare PlansNew federal regulations are causing some private insurance to drop fee for service medicare advantage plans.
- Implication of the Medicare Prescription Drug Act of 2003The Medicare Prescription Drug Act of 2003 introduces one of the most innovative additions to the present Medicare Law. It has been hailed as one of the truly heartfelt laws to come along. It now attempts to cover out...
- Medicare, Medigap, Medicare Advantage Plan Survival Basics
- Medicare Part D Coverage Plans: Part D Enrollment Made Easy Peasy
- Changes to the Medicare Part D & Medicare Advantage Election Periods
- Medicare 101: What You Must Know About Medicare Coverage Before You Turn 65
- Are Medicare Advantage Plans a Money Saver for Senior Citizens or a Rip-Off?
- Medicare Advantage Plans - What You Need to Know
- New Annual Enrollment Period for Medicare Advantage Plans in 2011