There's Less Than a Month to Make an Important Change to Your Medicare Advantage Coverage

If you’re retired, healthcare probably eats up a lot of your income. So it’s important to make sure you’re reasonably happy with your Medicare coverage.

If you’re on Medicare Advantage and aren’t in love with your current plan, you’re in luck. Medicare Advantage’s open enrollment period doesn’t wrap up until the end of month. Between now and March 31, you can make changes to your Medicare Advantage coverage by:

• Swapping your current Advantage plan for a new one
• Ditching Medicare Advantage and moving onto original Medicare

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It’s important that you take advantage of this opportunity while it’s available to you.

Why it could pay to switch Medicare Advantage plans

Whether you’re on a new Medicare Advantage plan this year or you’ve had the same plan for a long time, if you’re having issues with your coverage or costs, it could pay to make a switch.

One tricky thing about Medicare Advantage plans is that their rules can change from one year to the next. A medication that was inexpensive for you last year could now be costing four times as much if your plan’s formulary changed. Or, a supplemental benefit you enjoyed last year may no longer be available.

If there’s any aspect of your Medicare Advantage plan that you aren’t happy with, it pays to explore other options through March 31.

What to look for in a new Medicare Advantage plan

If you’re considering a switch to a new Medicare Advantage plan, it’s important to look at the big picture. Pay attention to the following:

• Costs beyond your premiums. It’s common to find $0 premium Advantage plans. Look at copays, deductibles, and out-of-pocket maximums as well.
• Drug formularies. If there are pills you take regularly, make sure they’re covered and check associated copays.
• Supplemental benefits. These can differ from one Medicare Advantage plan to another.
• Provider lists. If your preferred doctors aren’t in network, you could be forced to switch providers or face hefty costs if you continue to see them.

Should you go back to original Medicare?

As mentioned earlier, one option you have during Medicare Advantage’s open enrollment period is to drop Advantage altogether and enroll in original Medicare. You’ll be able to get a Part D drug plan if you ditch Medicare Advantage, since you’ll need one with original Medicare.

There are certain benefits to sticking with original Medicare. You won’t be restricted to a specific provider network, and, depending on your health situation, your total costs may be lower.

But there are also some trade-offs to consider. Original Medicare doesn’t cap your annual out-of-pocket spending. It also doesn’t cover a number of important services Medicare Advantage plans typically pay for, liked dental care and eye exams.

Depending on your situation, it may also be costly to buy a Medigap plan if you decide to move over to original Medicare. But without Medigap (supplement insurance), you could end up on the hook for very expensive out-of-pocket costs.

Clearly, there’s a lot riding on your decision. So don’t wait to explore your health plan options if you’re not loving your current Medicare Advantage plan. Even though the deadline to make a change is almost a full month away, the more time you give yourself, the better.