Medicare Supplement Plan F
So, you are considering giving most certainty to your retirement budget? And your next concern is your healthcare costs?
You think that your choice of Medicare Supplement Plan F will allow you peace of mind.
And you are right in thinking so. But with a single exception. The plan will soon be phased out.
You might be considering the impact of this information on your supplement plan shopping. A phased out insurance plan means an aging pool of policyholders which means increasing health cost per policyholder.
So, if you are considering buying full coverage for your healthcare expenses, you may consider buying Medicare Supplement Plan F which offers almost similar coverage with an exception of Medicare Part B deductible.
But what is Medicare Supplement Plan F?
Let’s get an overview:
What is Included in the Medicare Supplement Plan F?
Medicare Supplement Plan F includes all those costs coverage which is covered under any other supplement plan. More precisely, the following basic costs are covered:
- Coinsurance of Medicare Part A hospitalization costs after Medicare benefits are utilized,
- Coinsurance or copayment of Medicare Part B,
- First three pints of blood,
- Coinsurance or copayment of Part A hospice care, and
- First three pints of blood.
The extra insurance provided by this plan include:
- Skilled nursing facility care,
- Part A and deductible,
- Part B excess costs, and
- 80% of a foreign travel emergency.
What is NOT Included in the Medicare Supplement Plan F?
Although every cost which is covered by any Medicare Supplement Plan is covered under Medicare Supplement Plan F, there are still other costs which are left uncovered to be paid out of policyholders’ pocket.
The seniors have to pay Part B premium payment and any of the Part A premiums you may owe because of insufficiency in your employment terms.
Other costs which are not included in this plan are the vision and dental insurance.
How Decision to Phase out Plan F Might Impact You?
2019 is the last year when this plan is still being offered. This will not be available for grab in 2020.
A cut off in this plan means that soon this plan will be populated with those individuals who are elder and, in most cases, need more healthcare costs. The costs of sustaining this plan will rise up giving an upward trend in premium costs. So, this projection of higher healthcare costs in the future should deter you from locking your healthcare budget in Supplement Plan F.
Who Would Prefer Medicare Supplement Plan F?
Those individuals who have extensive medical care needs would prefer to supplement plan F as it covers most of the additional costs. The two features of such individuals include:
- Their tendency to use health care services more often because of their health issues and physical state and
- Their plan to travel abroad frequently.
Most importantly, these individuals are ready to pay higher premiums for added certainty they are buying in their insurance plan.
Medicare Supplement Plan F offers uncontested coverage of medical costs for retirement years. This plan attracts the highest premium as well. The individuals buying this plan should factor in the fact that this plan will phase out in 2020.