Medicare. The word alone makes people roll their eyes, plug their ears and shudder. It’s so complicated. It’s so confusing. It’s no fun.
But those who attended an educational luncheon Thursday at Allen County Regional Hospital said they learned information that surprised them and made them reconsider some of their choices regarding the healthcare program.
“I thought I knew what I was going to do when I came in here. Now I’m not so sure,” Lonnie Larson, Iola, said. He isn’t yet 65 and attended the program to learn about his options when the time comes. “This was a good program. I realized there are more options to consider.”
The Medicare program was the first in a new series of educational luncheons called “Lunch and Learn,” offered through the hospital at no cost to participants. Eric Norris, director of Medicare and retiree benefits for DPI Benefits, a benefits consulting company that serves ACRH, talked about Medicare basics and changes to the program in a simple, easy-to-follow presentation.
Marilyn Miller, Iola, said she has been on Medicare for years but learned a lot from the presentation. She said Norris did a much better job than a letter from the government in explaining why people won’t see a financial increase from a 2 percent raise to Social Security benefits; the raise allows the government to increase Medicare premiums, which likely will wipe away the financial benefit of the 2 percent increase.
Miller also said she learned about Medicare supplement plans and is better prepared to advise her children as they approach 65, the age when Medicare eligibility begins.
Some highlights from the program included:
NEW CARDS will be issued to everyone enrolled in Medicare starting in April. But don’t panic if you don’t get a new card right away, Norris said. The government will mail the cards in random order over the course of a year, ending in April 2019. That means one person in a household might receive a new card immediately but a spouse or another resident in the same household might not get a card until next year.
Also, watch out for scams regarding the new cards, Norris warned. There is no charge for the cards and you don’t have to do anything to get one as long as you are already enrolled in Medicare. Some scammers already started targeting seniors about the cards by telling them they need to pay a fee to receive a card or to expedite the process. There is no fee and there’s nothing you can do to speed up the process, Norris said.
The new cards no longer include Social Security numbers, gender or signatures. Instead, a new identification number is assigned to the card.
MEDICARE offers four types of programs; three are funded by the U.S. government and one is a private insurance option. Open enrollment is Oct. 15 to Dec. 7.
Part A. This is free to most people who have worked at least 40 quarters (10 years) or have a spouse who has worked that amount of time. It covers much of the cost of hospital stays (you’ll have to pay deductibles).
Part B. This covers doctor visits and outpatient services, and is similar to a traditional healthcare plan. Participants pay a monthly premium and deductibles. This year, the premium for most will increase to $134 per month, up from $109. Higher-income participants pay more.
Part D. This covers prescription medication costs and is one of the more confusing parts of Medicare. Premiums typically range between $17 to $109 per month with a typical base of $35.02 in 2018. Deductible costs vary. After you’ve paid $3,750, you fall into what’s known as the “doughnut hole.” You’ll pay more for your prescriptions until you’ve paid $7,508.75. Then, your deductible is just 5 percent or $3.35 for generic drugs and $8.35 for brand-name drugs, whichever is greater.
“Generics are not always cheaper on Part D,” Norris warned. “Make sure you check the price.”
Part C, also known as Medicare Advantage. These plans are private-pay insurance programs required to offer the same types of coverage as Medicare Parts A, B and D. Many people like Medicare Advantage plans, but they are not government-provided plans. They are most useful for people near metropolitan areas who have better access to network specialists, rather than people in rural areas, Norris said. You can switch between Medicare and Medicare Advantage during open enrollment.
