Is Medicare Plan F Going Away?
As a Medicare Health Insurance Agent I hear this question over and over: “Is Medicare Plan F Going Away?” The simple answer is, no, Plan F is not going away. However, not everyone can sign-up for it as of January 2020.
Who Can Still Get a Medigap Plan F?
Medicare Beneficiaries who turned 65 prior to January 2020, are eligible to purchase a Plan F Medicare Supplement. They will either have to have a special enrollment period for guaranteed acceptance, or go through Medical Underwriting to get into a plan.
Who Cannot Get a Medigap Plan F?
Beneficiaries who turn 65 after January 2020, are not eligible to purchase a Plan F Medicare Supplement.
Why Can’t Some People Purchase a Plan F?
Well, the government set a new rule that says anyone that turns 65, on January 1, 2020, or after, cannot purchase any supplement policy that covers the Medicare Part B deductible. This includes Plan F and Plan C.
In 2021, the Medicare Part B Deductible is $203..Click here to read all the 2020 Changes and Updates to Medicare Part B.
Medicare Supplement (Medigap) Plan Chart
Wondering what the difference is in Plan G vs Plan F? Here is a Medicare Supplement (Medigap) Plan Chart to remind you of what letter Plan covers what.
Plan G is More Competitive
The good news is that Plan G Medigap Plans are typically much more competitively priced than Plan F’s. Moreover, the only difference between the two plans is Plan F covers the Medicare Part B deductible, while Plan G does not.
Additionally, the Medicare Plan G Supplements are usually still less expensive than Plan F’s even after adding back in the Part B deductible.
Even if you are 65 years old before January 1, 2020, it is a good idea to see if you could save money by switching to a Plan G if you now have a Plan F.
Just know, You will have to pass medical underwriting to switch plans. Plan F’s will not have the ability to add younger (potentially healthier) beneficiaries to their pool. As a result, these plan prices will most likely rise at a faster rate than plans that can add younger people.
Plan F vs Plan G – How do They Work Differently?
Again, the only difference between Medigap Plan G and Plan F, is that Plan F pays the Medicare Part B Deductible and Plan G does not.
Part B pays for Medical Insurance. This includes:
- Home Health
- Health Care Providers
- Durable Medical Equipment
Each year, when you use these types of services, you will pay the Part B Deductible ($198 in 2020) first. Then, you will pay no other costs as everything else will be picked up by your supplement.
With Plan G Supplements sometimes being up to $900 a year cheaper, it makes a lot of sense to see if you are eligible to switch to one or start on one.