What are Medicare Supplement Changes in 2020?

There are serious Medicare Supplement Changes in 2020. In 2015, Congress passed the Medicare Access and CHIP Reauthorization Act, known as MACRA. It became effective 1/1/2020 and had a serious impact on Medicare Supplement (Medigap) plans.

Whether the new law is applied to a particular beneficiary or not, depends on whether a beneficiary is considered newly Medicare-eligible or not.

A beneficiary is newly Medicare-eligible if he/she turns 65 or become eligible for Medicare before 65 (due to disability or end-age renal disease) on or after 1/1/2020.   Otherwise, a beneficiary is NOT newly Medicare-eligible.

Medicare Supplement Changes in 2020 for Newly Medicare-eligible Beneficiaries

According to MACRA, the newly Medicare-eligible beneficiaries, cannot buy Medicare Supplement plans with $0 out-of-pocket costs.  They include:

The following plans substitute the discontinued plans C, F and Plan F High-Deductible

No Medicare Supplement Changes in 2020 for the Rest of Us

People who turn 65 or become eligible for Medicare before 65 before 1/1/2020 are not affected by MACRA ruling. In other words:

  • Beneficiaries who already have Medigap plans C, F, and F High-Deductible prior 1/1/2020 are able to keep them as long as they choose.
  • People having a Medicare Part A who are still working and plan to retire in 2020. They will get Medicare Part B and are able to purchase Medigap Plans C, F, or F High-Deductible.
  • People who are under 65 now, have Medicare, and one of the $0 out-of-pocket Medigap plans will have the second Medigap Open Enrollment when they turn 65. After 1/1/2020, then they will only be able to purchase Medigap Plans D, G, or G High Deductible plans.

Changes in Guaranteed Issue Plans

Starting 1/1/2020, MACRA is making both Plan D and Plan G guaranteed issue plans for newly Medicare-eligible beneficiaries who are not allowed to enroll in Plan C or Plan F. If you’re Medicare-eligible before 2020, then you will NOT be given guaranteed issue for Plan D and Plan G. However, you will still be eligible for a guaranteed issue with Plan C and Plan F.

New High-Deductible Plan G

Medigap Plan G High-Deductible is available starting 1/1/2020. It substitutes Medigap Plan F High-Deductible and is available regardless of whether you are Medicare-eligible beneficiary or not.

US Government Sources

Let Liberty Medicare Help you to Choose Medicare Supplement Plan

If you are looking for Medicare Supplement coverage, Liberty Medicare is here to assist you. We’ll help you in all stages of comparing, selecting, and enrolling in the most suitable Medicare Supplement Plan with the best Best Medicare Supplement insurance company.

All of our services are offered to you at no cost. We’ll help you:

  • Find all available to you plans and compare their benefits
  • Determine your eligibility (particularly if medical underwriting is required)
  • Find the least expensive Medigap plan and enroll in it

Learn more about all the benefits of working with Liberty Medicare.

Please contact Liberty Medicare, or give us a call at 877-657-7477.