What Is the Average Cost of Medicare Supplemental Insurance? A Guide

What Is the Average Cost of Medicare Supplemental Insurance? A Guide

According to one study, there are 44 million people who are on Medicare.

However, Medicare may not cover everything that you need, which is why a lot of people also get a Medicare supplement plan.

But what is the average cost of Medicare supplemental insurance? Keep reading to find out all you need to know!

Average Costs

A lot of factors will go into determining how much your Medicare costs will be. However, as the experts at medicareinsuranceaz.com explain, these averages might be a good starting point to give you an idea if you can afford it.

Part A

For Part A, you normally won’t have to pay anything for a premium. You’ll pay no more than $470 a month, and this cost is around the same even if you paid Medicare taxes for less than thirty fiscal quarters.

If you paid Medicare taxes for over thirty fiscal quarters, you’ll likely pay around $260.

For each benefit period, you’ll pay around $1,480 as a deductible. For the first sixty days, you’ll have $0 coinsurance.

Part B

If you have a Part B, your premium could be as little as $148. However, this depends largely on your income.

You will have a $200 deductible, but once your deductible is met, you’ll only pay around 20% of the costs.

Part C

The monthly premium for this will vary depending on what type of plan you decide to get.

For this, you may have to compare plans to see what you need before they can give you a quote.

Part D

Medigap Plan D (or Part D) also has different monthly premiums. If you have a higher income, you’ll likely have a higher premium as well.

For example, if you make over $87,000, you’ll have to pay an extra amount on top of your premium as well.

The best way to figure out what your specific costs would be is to contact an agent or ask for a personalized quote before you decide.

Factors That Affect Your Cost

There are many different factors that go into deciding how much your health insurance will cost.

For example, many insurance companies use a rating system to figure out how much their premium will cost you.

They divide the ratings up into three different categories: a community, issued age, and attained age rating.

The community rating is priced in a way that pretty much everyone pays the same cost regardless of other factors, like your age.

The premiums might increase based on how the economy is doing, but it’s generally a flat rate for everyone.

If your insurance company decides to do it based on the age you are when it’s issued, your premium will depend on how old you are when you purchase it.

If you’re younger, you’ll have a lower premium than someone who might be 65 or older. The premiums won’t increase by your age, so it’s important to buy these as young as possible.

Lastly, the attained age is based on how old you currently are. However, these plans get expensive because the premiums do increase when you get older.

You may also face other factors determining the price, like medical conditions, discounts, where you live, and inflation.

How to Save Money

While these plans (and health insurance in general) can be expensive, there are ways that you can try and save some money.

This way, you’ll still be able to get all the coverage you need without going broke.

Find an Off-Brand Company

You might find supplemental insurance through a lot of the big-name brands, like Cigna and Blue Cross Blue Shield. However, these plans are likely expensive.

Instead, try and find other insurance companies that are highly rated but not as well-known. They may be able to offer you better rates than the bigger companies will.

Make sure that you still try and find someone that most hospitals and doctors will accept.

Take a High Deductible

If you don’t plan on using your insurance very much, you may want to save some money and get an insurance plan that has a lower premium but a higher deductible.

You’ll have to pay your share of medical costs until you hit your deductible, but once you do, the insurance will cover 100% of the costs.

This may be a good option if you’re not going to the doctor all the time, but it could hurt you financially if you need emergency medical care.

Find Household Discounts

Do you live with someone who needs Medigap insurance as well? Sometimes these policies will offer discounts if you have a spouse or family member who is also on the plan.

Some companies will even let you use discounts with your roommate!

How to Get Financial Help

If those money-savings tips don’t help you out enough, there are plenty of resources out there that can help you cover your medical health care. Some of them are designed specifically for medicare as well.

A lot of people who are eligible to sign up never do, so make sure that you apply.

For example, the Extra Help program helps people who have Medicare Part D. This company can help you pay your copay, coinsurance, and premiums if you qualify.

The Medicare Savings Program is another one that can help people who have Original Medicare Part A and B.

This will help you pay off your premiums, deductibles, and coinsurance. If you qualify for this program, you also automatically qualify for the Extra program as well.

Learn More About: What is the Average Cost of Medicare Supplemental Insurance?

These are only a few things to consider when wondering, “What is the average cost of Medicare supplemental insurance?”

There are many more factors to consider, but it’s best to talk to an insurance company so you know just how much it would cost you.

We know that it can be exhausting trying to decide on health insurance, but we’re here to help you out! If you enjoyed this article, make sure that you explore our website to find more articles just like this one.

Image Attribution:
Adobe Stock royalty-free image #87005675, ‘Medicare enrollment form’ uploaded by zimmytws, standard license purchased from ; file retrieved on April 29th, 2019. License details available at – image is licensed under the Adobe Stock Standard License.

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