Isn't it concerning that Medicare Advantage plans are taking over the system?
Answered by 25 licensed agents
Is it concerning? On the one hand the only other option is a Medicare Supplement (or high deductible Medicare Supplement) or do nothing and just have Original Medicare. Being that health costs have increased significantly and that more people are looking to not pay now and pay later (as they use their plan) it is the only option. Other factors like the cost of living have made Medicare Advantage for those eligible attractive. Whereas they would have to pay a monthly premium for a Medicare Supplement. So in that regard it’s the best option for those budgeting or trying to make ends meet. On the other hand, it does leave the fact that there are 6 major Medicare Advantage companies ( there are some regional Medicare Advantage carriers) and these 6 you could say are monopolizing the market. So in that regard they’re pockets are so deep that they can lobby for laws and regulation that benefit their stock prices at the expense of the true intention of healthcare
Medicare changed very little in it's first forty years and that is a bad sign in any program or product. Demand for better service and a better product drives competition between the companies that provide Medicare Advantage plans. This competition makes for a better product for all Medicare recipients that are part of the Medicare Advantage program.
I agree, Medicare Advantage plans are applied for when agents do not inform prospects about the Medicare Supplement plans. Also TV ads and insurance companies promotion of Advantage plans help beneficiaries to believe the only option is an Advantage plan.
Not in the least. The insurers are very good at what they do, and they are more efficient with the resources provided by the government. Which is our tax dollars and benefits that we deserve from our working lives. Plus medicare advantage plans come with all the goody benefits.
It’s growing fast because of low premiums and extra benefits, but MA plans also come with networks and prior authorizations that Original Medicare doesn’t.
Bottom line: It’s not one-size-fits-all. The best plan depends on your health, doctors, and budget. Always compare before you decide!
In some ways, yes, and in other ways, no. For many people, Medigap (Medicare Supplement) policies are not affordable. Staying with regular Medicare without a supplement is not appealing because of the potential out of pocket costs associated with your health needs. MA plans do offer a maximum amount you can pay each year, as well as smaller co-pays for more common, less expensive services, as well as additional benefits not offered by Medicare. That being said, regular Medicare is very user friendly and when combined with a Medigap policy is a very comprehensive medical coverage. With more people choosing MA plans, that is likely to increase the costs of Medigap policies making them less affordable for even more seniors.
They are simply one option for you. It’s important to review both Medicare advantage plans as well as supplement plans. Compare the pros and cons and decide what is in your interest.
I don't look at it that way. There are still numerous Medicare Supplements available. The addition of more Medicare Advantage Plans makes it easier for us as Agents to find a plan that works best for our clients. Many are not financially able to afford Medicare Supplements as they also have to purchase a drug plan, dental & vision coverages as well. Medicare Advantage plans also allow those who are healthy to only pay as they use the plan.
All things come in cycles. That’s the key point relevant to this question. When that happens, I don’t know but it won’t be too long until people turn to a Medigap policy (a.k.a., Medicare Supplement).
It is extremely concerning to me. The privatization of Medicare comes with for-profit insurance companies, making treatment decisions on behalf of patients and their physicians. I believe that all medical care should be provided in a not-for-profit environment.
Right now, the Medicare population is split about 50/50 between Original Medicare with a supplement and Medicare Advantage. I find that ratio to hold true with my clients as well. There is no right or wrong answer, they are just different ways to receive your Medicare benefits with different pros and cons.
If you move, not knowing if you have a Medicare Advantage Plan or Medigap Plan, coverage could have differences to the State and county where you live.
Every Medicare beneficiary has a choice. Medicare Supplement plans are readily available and don't have the same strict guidelines lines the Medicare Advantage plans have.
Medicare Advantage plans have wider suite of benefits and have premiums as low as $0.
It's the choice of the beneficiary to chose what is best for them.
Medicare Advantage and Medicare Supplements are the only two options available to lower the gap left with traditional Medicare. We are currently seeing a strong trend toward Medicare Advantage plans with our seniors. Neither option is wrong, it's about making sure that the coverage you choose fits your situation. The system is designed the way it is; we can only maneuver within what systems we have to work with.
Medicare Advantage plans often highlight extra benefits like gym memberships and dental care. However, these plans may have network restrictions and higher out-of-pocket costs.
I think most people do not understand that the decision to go within an advantage plan can lock them into that for a lifetime. However, the advantage plans can change the formulary change. The network and hospital systems are leaving advantage networks to the tune of 32 hospital systems with Drew in 2024 if you have more questions you can contact me.
Right now, more and more people are picking Medicare Advantage plans instead of regular Medicare mainly due to affordability and additional benefits. Medicare Advantage is when private insurance companies (like Humana, UnitedHealthcare, or Aetna) run your Medicare benefits instead of the government.
Is it concerning?
Well… it depends who you ask! Here’s the simple version:
Why Some People Think It’s Good:
These plans often give extra goodies like dental, vision, hearing, gym memberships, and drug coverage all in one plan.
They sometimes have lower monthly costs than regular Medicare with a separate supplement.
Why Some People Are Worried:
Since private insurance companies are in charge, they can decide which doctors you can see and sometimes make you get permission (called prior authorization) before you can get certain treatments.
Some people worry that companies care more about making money than about patient care.
If you get really sick or need to see special doctors, you might feel more “stuck” in a network with fewer choices compared to Original Medicare or a Medicare (Medigap) supplement plan.
Big Picture:
Medicare Advantage is growing fast because lots of people like the extras and lower upfront costs plus they really market them on television.
But it’s super important to remember: not all plans are the same — some are awesome and some aren’t so great.
It’s smart to really look carefully at all optins before picking a plan to make sure it covers what you need.
In short:
Medicare Advantage isn’t bad, but it’s not perfect either. It’s just different — like choosing between a homemade sandwich and a fast-food meal. One might be faster and cheaper, but it may not always be the healthiest or best choice for everyone.
Always pick the plan that fits your health, doctors, and future needs best!
Let me know if you’d like help comparing your options — it can get a little tricky, but
No. Not at all. This is a great way to have coverage for those who are healthy, those who have high cost rx and don't want to pay the drug deductible ($590), Silver sneakers, dental, vision or other perks............so no not at all.
The question about Medicare Advantage plans taking over the system. I am not sure what system you are referring to. Your options are original Medicare, Medicare Advantage and Medicare Supplement plans unless you have an employer sponsored plan. Medicare Advantage plans exist because they are in demand. The competition between the insurance carriers causes an increased number of plans to choose from. It can be a good thing because they offer so many benefits and hopefully a plan that will work for every situation.
These plans have been around since the late 90's. There was a concept called "Medicare Plus Choice" back then which brought in private carriers. MA plans have become a powerful part of the Medicare ecosystem now. Over half of the eligible population has now opted to enroll in Medicare Advantage. However, if it's not your preference you can continue taking your A&B coverage as primary and consider a traditional Medigap policy to lower your costs.
We shouldn't be concerned about the growth of the Medicare Advantage plans. The competition provides innovation and that generates benefits for us. The Medicare supplement plans are starting to do similar things. Everyone wants a piece of the Medicare pie and that means good service and benefits for us all.
It can be concerning because Medicare Advantage plans are run by private companies focused on profit, and they can limit doctor choices or require pre-approvals. While they offer extra perks, they’re not always the best fit for everyone.
My main concern is agents or brokers that do not discuss all the different options available for Medicare. Medicare Supplements and Medicare Advantage plans need to be presented as options.
