MediGap Advisors Health & Wealth Newsletter
October 2021
Vol. 16, Issue 10
AEP FAQs: Everything You Need to Know About the Medicare Annual Enrollment Period in 2021
Starting on October 15ᵗʰ, all current Medicare beneficiaries will have an opportunity to make important changes to their plan. Specifically, this is a good time to add any additional coverage you need or switch to a Medicare Advantage plan with a lower premium.
Here are some of the most common questions that we’re getting about AEP:
Q: When is the Medicare Annual Enrollment in 2021?
Every year, Medicare AEP begins on October 15ᵗʰ. It extends until December 7ᵗʰ.
Q: What is Medicare AEP for?
During AEP, Medicare Beneficiaries can make important changes to their Medicare plan, including:
- Add Part D prescription drug coverage (PDP plan)
- Switch from one PDP plan to another
- Switch to a Medicare Advantage plan for better coverage or lower premiums (or both)
- Disenroll on one Medicare Advantage Plan and enroll in a different one
- Disenroll in Medicare Advantage and go back to Original Medicare (Parts A & B).
Q: Do I Need to Do Anything During AEP?
If you’re satisfied with how your Medicare is going, then no, you don’t need to lift a finger during AEP. But if you need to add a drug plan or find a lower monthly premium, then this is the time to do it. Your Personal Benefits Manager can help you find the plan you need and get enrolled fast.
Q: What are the Benefits of Switching to Medicare Advantage?
Most people switch to Medicare Advantage in order to fill the coverage gaps that exist with Original Medicare. A lot of people do this with a Medicare Supplement Plan, or Medigap. But unlike Medigap, Medicare Advantage is a single, comprehensive Medicare plan where all the coverage is in one place.
Medicare Advantage plans come in many shapes and sizes. But they generally have low premiums, and some even have $0 premiums. These plans can be configured to cover dental, vision hearing, and more based on your preferences.
According to our clients, one of the biggest benefits is the simplicity and ease of use. With Medicare Advantage, you can have one plan for everything, and take a lot of the confusion out of your healthcare.
RELATED: “Medicare Supplement vs. Medicare Advantage
Q: What are the Disadvantages of Switching to Medicare Advantage?
If you currently have original Medicare along with a Medicare supplement plan, you can go to any doctor in the country that accepts Medicare.
A Medicare Advantage plan, however, will limit you to certain doctors within the network.
When you have Medicare along with a Medicare supplement, you typically have very little out-of-pocket exposure. Medicare Advantage plans, while putting a cap on your out-of-pocket expenses, can still leave you liable for over $7500 in shared expenses.
Q: What If I Don’t Want to Switch Plans During AEP?
While it’s a good idea to revisit your Medicare needs every year, changing plans is not always necessary. If you’re happy with what you’ve got, just sit tight and you will be re-enrolled in your current plan. You will receive an Annual Notice of Changes (ANOC) in the mail that will detail any changes to your current plan.
Q: Why Are People Talking About the MSA Plan?
The Medicare MSA Plan is one of the Medicare Advantage plans that you could switch to during Annual Enrollment. When used correctly, the MSA Plan can make Medicare more affordable, while also serving as a valuable retirement investment tool.
Here are the MSA Plan basics:
- $0 monthly premium, but a higher deductible
- Includes a Medical Savings Account (MSA), where a portion of your benefits are deposited
- You control the MSA account, using the tax-free funds on out-of-pocket medical expenses
The MSA plan is not a good fit for everybody. In general, it’s a good plan for people who don’t have health problems and don’t use their coverage very much.
If you’re interested, Your Personal Benefits Manager can help you evaluate your medical needs. If the MSA plan isn’t a good match for you, we’ll help you find the plan that is.
Q: I’m Ready to Switch Medicare Plans, How do I Do It?
Starting this month, you can get a free, no-obligation Medicare consultation with your Personal Benefits Manager. If you know what you want, we’ll help you get there as fast as possible. If you’re unsure about your Medicare, we can show you the options that best fit your needs.
Call your Personal Benefits Manager to get started, or click the calendar link in their signature block in this email, to schedule a meeting.
Want to do your own research on Medicare? The MediGap Advisors Blog has new content every week, featuring the latest tips, tricks, and tactics to master your Medicare.
To your health and wealth,
Wiley P. Long, III
President – MediGap Advisors
