Medicare Strategy
Medigap insurance covers the 20% of costs not covered by Medicare Part B. These optional supplemental plans cover nine types of standardized policies offered by companies such as AARP and Blue Cross/Blue Shield. Medicare Part D (prescription drugs) is not standardized; the drugs covered and their costs vary by policy.
Medicare Part C, sometimes called an Advantage Plan, allows your clients to opt out of traditional Medicare and sign up for a private version. Part C is intended to provide equivalent services of Medicare Parts A, B, and D and Medigap. Part C is promoted as a less-expensive alternative because the patient is limited as to what providers can be used. If a Part C participant uses a doctor or hospital outside the network, costs can be considerably more.
Financial advisors may wish to use the services of outside consultants when helping clients with Medicare questions. The U.S. government funds a nationwide network of free State Health Insurance Assistance Programs (SHIPs). These companies provide information about Medicare enrollment, plan selection, claims, disputes, and appeals. For $80 to $150 an hour, patients with a more complex situation may consider using for-profit organizations.