Medicare
Frequently asked questions
- What is Medicare?
- What is a Medicare Supplement plan?
- Why do I need a Medicare Supplement plan?
- How do insurance companies set prices for Medicare Supplements?
- Will I have a waiting period for any pre-existing conditions?
- Do I have to answer health questions to qualify for a Medicare Supplement plan?
- Where can I get more information regarding Medicare?
- Is prescription drug coverage a benefit of any of the Medicare Supplement Plans?
- What is Medicare Advantage?
A: Medicare is a Federal health insurance program for people ages 65 years or older, certain people with disabilities, and people with permanent kidney failure treated with dialysis or a transplant. Medicare has three parts - Part A, which is hospital insurance; Part B, which is medical insurance; and Part D, which is prescription drug coverage.
Q: What is a Medicare Supplement plan? 
A: Medicare Supplement insurance policies are sometimes called Medigap plans. Medigap plans are private health insurance policies that cover some of the costs original Medicare (Parts A and B) does not cover.
Q: Why do I need a Medicare Supplement plan?
A: Medicare does not pay for all of your health care bills. Supplemental plans are designed to pay many of those extra expenses not covered by Medicare alone, such as deductibles and copayments.
Q: How do insurance companies set prices for Medicare Supplements?
A:Each insurance company decides how it will set the price, or premium for its Medicare Supplements. The way they set the price affects how much you pay now and in the future. Medicare Supplements can be priced in three ways:
- Community rated (also called "no-age rated") - premium not based on age.
- Issued age rated (also called "entry-age rated") - premiums are lower for people who buy at a younger age and will not go up as you get older.
- Attained age rated - premiums are low initially but go as you get older. They may be the least expensive at first, but they can eventually become the most expensive.
Q: Will I have a waiting period for any pre-existing conditions?
A:Pre-existing conditions are conditions for which medical advice was given or treatment was recommended by or received from a doctor within six months of the effective date of coverage. The six month waiting period will be reduced by the amount of time you have spent under other health insurance coverage as long as the coverage is terminated no more than 63 days prior to your effective date. The six month waiting period is also waived if you apply within six months of your Medicare Part B enrollment date.
Q: Do I have to answer health questions to qualify for a Medicare Supplement plan?
A: No, if you apply six months before or six months after your 65th birthday, or if you apply within six months of your Medicare Part B effective date. Yes, if you apply six months past your Medicare Part B effective date.
Q: Where can I get more information regarding Medicare?
A: Contact our office at 704-618-3800 or cs@4insuranceoptions.com or visit www.medicare.gov.
Q: Is prescription drug coverage a benefit of any of the Medicare Supplement Plans?
A: Prescription drug coverage is not included as a benefit of any Medicare Supplement plan. On January 1, 2006, Medicare ’s prescription drug coverage became effective. Medicare Prescription Drug Coverage was designed by the U.S. Congress to help you pay for the prescription drugs you need. If you would like this prescription drug coverage, you must purchase it separately from your Medigap (Medicare Supplement) health plan. Everyone with Medicare is eligible for this coverage. Beneficiaries are not automatically enrolled. You may choose to purchase this private insurance on an annual basis.
Q: What is Medicare Advantage?
A: A Medicare Advantage Plan (like an HMO or PPO) is another Medicare health plan choice you may have as part of Medicare. Medicare Advantage plans (Medicare Part C) are offered by private companies approved by Medicare.
If you join a Medicare Advantage Plan, the plan will provide all of your Part A (Hospital Insurance) and Part B (Medical Insurance) coverage. Medicare Advantage Plans may offer extra coverage, such as vision, hearing, dental and/or health and wellness programs. Many Medicare Advantage plan include Medicare prescription drug coverage (Part D).
Medicare Advantage plans are not Medicare Supplements.