How to Compare Medigap Supplement & Medicare Advantage

Medicare offers the elderly and disabled many options for how they receive their health care. Most beneficiaries opt for straight-from-the-government original Medicare, but many also decide to get their care from private plans called Medicare Advantage plans. Individuals with original Medicare can also choose to purchase supplemental plans called Medigap policies. Understanding which option is the best for you will involve a little research and making a few phone calls.

Instructions

• 1

  Log on to Medicare's official website to use their plan finder tool. Use the plan finder tool to get an up-to-date list of Medigap plans and Medicare Advantage plans in your area.

• 2

  Use the plan finder tool to find Medicare Advantage plans first. Go to Medicare.gov, and then click "Health & Drug Plans," followed by "Compare Drug and Health Plans." Enter your zip code and any of the personalized information that you want, and click "find plans." Follow the tool's prompts. It will ask you questions about your health status and any drugs that you take. It will then supply you with a list of Medicare Advantage plans in your area.

• 3

  Compare the Medicare Advantage plans. This will give you a good idea of how much a Medicare Advantage plan will cost you altogether. Compare plans side-by-side right in the plan finder tool.

• 4

  Call the Medicare Advantage plans and ask questions about coverage. Find out if all of the services you need, the drugs you take and the pharmacies you frequent are included in the Medicare Advantage plan's network. If they are covered, ask if there are any restrictions such as prior authorization on these services.

• 5

  Ask about prices. Find out how much the plans will cost. Ask about the deductible (how much you have to pay out of pocket before the plan kicks in), premium (how much it will cost each month) and co-payments.

• 6

  Use the plan finder to find Medigap plans. Log on to Medicare.gov and click "Health & Drug Plans," followed by "Compare Medigap Policies." Choose either the personalized plan search, which will require more personal information or the general plan search and follow the prompts. This will give you a list of Medigap policies available in your area and a list of the benefits they cover.

• 7

  Call a few Medigap policies and find out how much some monthly premiums will be. Add this amount to your Part B monthly premium and this will be your total monthly cost for your Medicare health care. Keep in mind that Medigap polices pay for the coinsurance for the services they cover, so weigh that against the fact that you will pay co-payments for most services under Medicare Advantage.

• 8

  Compare the monthly costs of Medigap and Medicare Advantage. Which one has a greater cost?

• 9

  Compare the benefits of Medigap and Medicare Advantage. Which one offers you more benefits? Is it the one that costs more, or the one that will cost you less? Keep in mind that Medigap and original Medicare does not include drug coverage, but Medicare Advantage typically does.