What's New For Medicare 2010?

As we wind down 2009, it is time to look ahead. Some changes will take place that will affect some Medicare beneficiaries. It is time to find out if your own health plan will be affected so you can make the right decisions. 

Note that the US government provides one of the best online resources. You can always consult Medicare.gov for the latest information. It allows you to look up and compare area plans, ask questions, and find answers to common questions about the US government health plan for seniors and disabled people.

Plan B Premums

Most Americans do not have to pay a Part A premium. Existing beneficiaries, who had Part B taken out of social security, will probably be happy to note that their Part B premium, which is usually taken out of a social security check, will not go up. It will still be $96.40 a month. Some seniors do not even realize they pay this amount because it is automatically taken out of social security for beneficiaries.

Keep in mind that some people with very high incomes, or who are new to the plans, will see a 15% increase next year. But the vast majority of recipients pay $96.40 for Part B premiums. They paid that in 2009, and will continue to pay it in 2010.

New Medicare Supplements and Benefits

A hospice care benefit will be added to all levels of Medi-gap (Medicare Supplement) plans.

Some new plans (M and N) will be added. They are similar to Plan F. But Plan N includes copays for doctor's office visits and trips to the emergency room. Because of the copay, it should cost about a third less than Plan F. Plan M is also similar to the existing Plan F, but only covers half of the Medicare Part A and B deductible. The premiums for Plan M should be about 15% less than Plan F.

Some plans that were on the market in 2009 will not be sold after January 1, 2010. These include Plans E, H, I, and J. In addition, the preventative care and at-home recovery benefits will be eliminated from all medigap policies because the government did not feel this benefit was justified in the current marketplace.

Concerns About 2010 Changes

Note that existing Medicare Supplement plans will be grandfathered in, so beneficiaries can keep them if they wish. There is some concern that less healthy and older beneficiaries who belong to the closed plans may get rate increases, and will have a hard time changing plans in some states. Please discuss your concerns with a qualified Medicare health insurance agent. CMS recommends that insurance companies take in new business without health underwriting, and some companies may follow this standard. These are concerns to raise with your agent.

Learn More About Medicare Supplement Changes in 2010

If you are a new or existing Medicare beneficiary in 2010, you probably want to learn more. We mentioned the government website above, and it is a good resource. Of course, a qualified insurance professional who has been trained on the new products can be a better resource. Since all insurance is local, it is simpler to find an area representative who serves your city.