5 Tips for Seniors to Get the Most Out of Medicare Supplemental Insurance
There are so many ins and outs to understanding Medicare and all its programs. And, if you’ve spent any time researching Medicare, you’ve probably heard about Medicare Supplemental Insurance.
While there are many benefits to Medicare Supplemental Insurance, or Medigap, the add-on insurance policies make a complicated system even more confusing.
If you’re trying to decide if you need Medigap and don’t know where to start, we’ve put together this quick guide for you.
What is Medicare Supplemental Insurance?
Medicare Supplemental Insurance, also called Medigap, is a private health insurance policy that works to supplement Medicare policies.
Or fill in any gaps, giving it the name Medigap.
While many Medicare policies cover a majority of medical costs, there are still some things that need to be paid out of pocket. If you have a Medigap policy, once your Medicare makes its share of the payment, the supplemental insurance will pay its portion. This leaves you with fewer medical costs.
Just like Medicare, there are multiple Medigap plans you can choose from to best complement your existing policy. Depending on what plan you pick, your supplemental insurance could cover things like:
- Deductibles
- Co-Payments
- Co-Insurance
However, it’s important to keep in mind that Medigap doesn’t pay for prescriptions, which requires a separate Medicare plan (Plan D).
Benefits of Medicare Supplemental Insurance
As you can imagine, any health insurance policy that boosts an existing Medicare policy has its benefits.
The biggest of these benefits is that having Medigap lowers what you need to pay out of pocket for your healthcare. As you get older, your healthcare costs will naturally increase. You can protect your health, and your bank account, by getting a Medigap policy to cover what Medicare doesn’t.
Another benefit of Medicare Supplemental Insurance is there are ten plans you can choose between. Just like Medicare, Medigap has a variety of options designed to best fill the gaps for different health insurance needs. By having so many options, you’ll be covered for exactly what you need and won’t have to pay for what you don’t need.
Medigap plans complement Medicare insurance policies, which means they were designed to work together. Because of how they work, you won’t have to make any extra effort once you have Medigap. After Medicare pays for its portion of your bills, it sends the rest on to Medigap. With supplemental insurance, you get the benefit of extra coverage without any more work.
Finally, standardized Medigap policies are guaranteed renewable. This means that as long as you pay your premium, your policy can’t be cancelled. Why this is so beneficial is if you buy your plan when you’re younger and healthier, you’ll still get the same coverage as you get older and experience more health problems.
Medicare Supplemental Insurance really is a great way for seniors to get fuller healthcare coverage.
How Do You Enroll in Medicare Supplemental Insurance?
The absolute best time for you to enroll in a Medicare Supplemental Insurance program is during the open enrollment period. Your Medigap Open Enrollment Period starts when you are enrolled in Medicare Part B and are also aged 65 or older.
This is extremely important to remember!
During the six month period after you turn 65 and are enrolled in Medicare Part B, insurance companies with Medigap plans have to give you a plan without any medical underwriting. While there are stipulations if you have a pre-existing condition, during your open enrollment period, an insurance company can’t refuse to sell you a Medigap policy. More importantly, they can’t charge you more if you have health problems.
And, during your open enrollment, insurance companies can’t make you wait for your coverage to take effect.
There are ways you can enroll after your open enrollment period, but those are only under specific circumstances.
To find insurance companies in your state that sell Medicare Supplemental Insurance policies, check online or contact your State Health Insurance Assistance Program.
There are so many things to look forward to in your golden years. You have more free time, more flexibility in your schedule, and ample opportunity to pick up new hobbies.
However, in order to truly live well as a senior, you need to be aware of what you’re spending. If you’ve retired and you’re living on a budget, you’ll want to be cautious about how you enjoy time.
We’ve gathered a few tips on the best ways seniors can live well without breaking the bank.
1 – Use Senior Discounts
There are numerous discounts available for seniors looking to live their best lives. Restaurants, movie theaters, coffee shops, even grocery stores offer discounts for senior citizens.
Get in the habit of asking for your senior discount. Often, even if a place doesn’t have a specific policy, they’ll still offer savings. And it never hurts to ask!
2 – Get Creative with Housing
If you want to save money as a senior, one of the best ways is to look at your housing situation.
Do you have too much house for your current lifestyle? Save money by downsizing.
Want to give up home ownership and travel? Sell your house and get an RV.
Do you have plenty of space, but don’t want to move? Consider getting roommates. Then you get company and money!
Another option is selling your current home and moving into a retirement community. You’ll save money on things like taxes, utilities, and yardwork while also living in a resort-like setting.
3 – Consider Transportation Costs
Cars are expensive.
Whether it’s making those monthly payments or the cost of repairs and insurance, owning a car means spending money.
One way to live well on less is to sell any vehicles you don’t need. If you’re not driving regularly anymore, you can probably do just fine with one car.
Even better, if you live in an area with reliable public transportation, you could sell all your vehicles and be fine!
4 – Become a Savvy Traveler
Remember all those senior discounts we mentioned above? They also apply to traveling!
You can save so much money by traveling in the off-season, when everyone else has to go back to work or school. If you have the time, you can even travel to less popular areas with fewer tourist traps.
Instead of paying money for an expensive hotel, book a home rental. Not only are these options cheaper, but you can save money by cooking a few meals instead of eating out your entire trip.
Another tip is to check what perks come with your credit cards. You could be earning points and miles to make traveling cheaper for you.
5 – Take Care of Yourself
Some of the biggest expenses you’ll face as a senior are medical expenses. One way to live well is by investing a little money now to get healthy, so you don’t have huge bills in the future.
Get a gym membership and join a class. Set a weekly walking date with your friends. Do whatever you can to stay active.
Just as important as getting fit is eating right. When you’re working, grabbing the fastest, most convenient meals can become a habit. Use your new free time to start cooking. Find a local cooking class for seniors and learn something new. Watch a few cooking shows and pick one dish to attempt this week.
Improving your health will go a long way in helping you live well for years to come.
6 – Give Yourself Paychecks
Once you’re retired, it can be tempting to pull out whatever money you want as you need it from your investments.
But to get the most out of the next few decades, you’ll need to budget. Sit down and figure out what you need on a monthly basis. Then schedule that amount to be moved from your investments to your checking account once or twice a month, just like a paycheck.
Not only will this give you consistency, it will help your funds last as long as possible.
7 – Allow for Flexibility
Yes, you need to be careful with your spending, but you also need to have fun!
If you have a few things you want to splurge on, give yourself permission to do so. You can include these little treats in your monthly budgets or create a separate account that is just for special occasions.
No matter how you decide to live well as a senior, just remember you deserve it!
There are so many things to look forward to in your golden years. You have more free time, more flexibility in your schedule, and ample opportunity to pick up new hobbies.
However, in order to truly live well as a senior, you need to be aware of what you’re spending. If you’ve retired and you’re living on a budget, you’ll want to be cautious about how you enjoy time.
We’ve gathered a few tips on the best ways seniors can live well without breaking the bank.
1 – Use Senior Discounts
There are numerous discounts available for seniors looking to live their best lives. Restaurants, movie theaters, coffee shops, even grocery stores offer discounts for senior citizens.
Get in the habit of asking for your senior discount. Often, even if a place doesn’t have a specific policy, they’ll still offer savings. And it never hurts to ask!
2 – Get Creative with Housing
If you want to save money as a senior, one of the best ways is to look at your housing situation.
Do you have too much house for your current lifestyle? Save money by downsizing.
Want to give up home ownership and travel? Sell your house and get an RV.
Do you have plenty of space, but don’t want to move? Consider getting roommates. Then you get company and money!
Another option is selling your current home and moving into a retirement community. You’ll save money on things like taxes, utilities, and yardwork while also living in a resort-like setting.
3 – Consider Transportation Costs
Cars are expensive.
Whether it’s making those monthly payments or the cost of repairs and insurance, owning a car means spending money.
One way to live well on less is to sell any vehicles you don’t need. If you’re not driving regularly anymore, you can probably do just fine with one car.
Even better, if you live in an area with reliable public transportation, you could sell all your vehicles and be fine!
4 – Become a Savvy Traveler
Remember all those senior discounts we mentioned above? They also apply to traveling!
You can save so much money by traveling in the off-season, when everyone else has to go back to work or school. If you have the time, you can even travel to less popular areas with fewer tourist traps.
Instead of paying money for an expensive hotel, book a home rental. Not only are these options cheaper, but you can save money by cooking a few meals instead of eating out your entire trip.
Another tip is to check what perks come with your credit cards. You could be earning points and miles to make traveling cheaper for you.
5 – Take Care of Yourself
Some of the biggest expenses you’ll face as a senior are medical expenses. One way to live well is by investing a little money now to get healthy, so you don’t have huge bills in the future.
Get a gym membership and join a class. Set a weekly walking date with your friends. Do whatever you can to stay active.
Just as important as getting fit is eating right. When you’re working, grabbing the fastest, most convenient meals can become a habit. Use your new free time to start cooking. Find a local cooking class for seniors and learn something new. Watch a few cooking shows and pick one dish to attempt this week.
Improving your health will go a long way in helping you live well for years to come.
6 – Give Yourself Paychecks
Once you’re retired, it can be tempting to pull out whatever money you want as you need it from your investments.
But to get the most out of the next few decades, you’ll need to budget. Sit down and figure out what you need on a monthly basis. Then schedule that amount to be moved from your investments to your checking account once or twice a month, just like a paycheck.
Not only will this give you consistency, it will help your funds last as long as possible.
7 – Allow for Flexibility
Yes, you need to be careful with your spending, but you also need to have fun!
If you have a few things you want to splurge on, give yourself permission to do so. You can include these little treats in your monthly budgets or create a separate account that is just for special occasions.
No matter how you decide to live well as a senior, just remember you deserve it!