As you navigate the complexities of Medicare, you may be considering additional insurance options to help cover the gaps in coverage. While Medicare is an essential part of healthcare for individuals aged 65 and older, it doesn’t cover all medical expenses. This is where secondary insurance can come in, and AARP offers some of the most popular plans designed to work alongside Medicare.
In this article, we’ll explore what AARP secondary insurance to Medicare is, how it works, and why it might be a beneficial option for you.
What is Medicare?
Medicare is a federal health insurance program primarily for people aged 65 and older, but it also covers certain younger individuals with disabilities or specific conditions, such as end-stage renal disease (ESRD). Medicare is divided into several parts:
- Part A: Hospital insurance that covers inpatient hospital stays, skilled nursing facility care, hospice care, and some home health care.
- Part B: Medical insurance that covers outpatient services, including doctor visits, preventive services, lab tests, and some home health care.
- Part C (Medicare Advantage): An alternative to traditional Medicare, these plans are offered by private insurance companies and often combine coverage from Part A, Part B, and sometimes Part D (prescription drug coverage).
- Part D: Prescription drug coverage that helps pay for the cost of medications.
While Medicare provides comprehensive coverage, there are still certain out-of-pocket expenses, such as deductibles, coinsurance, and copayments, that aren’t covered by Medicare alone. This is where secondary insurance can help.
What is Secondary Insurance to Medicare?
Secondary insurance is additional coverage that helps pay for some of the costs that Medicare does not cover. It is often referred to as Medigap insurance, although secondary insurance can come in different forms, including employer-sponsored insurance, Medicaid, or individual policies offered by private insurance companies like AARP.
AARP, in partnership with UnitedHealthcare, offers Medigap plans designed to help cover Medicare’s out-of-pocket costs. These plans are designed to work alongside Medicare Parts A and B and can provide additional coverage for things like:
- Copayments: The portion of your medical bills you must pay when receiving care.
- Coinsurance: The percentage of costs you’re required to pay after your deductible is met.
- Deductibles: The amount you need to pay out-of-pocket before your insurance coverage begins.
How AARP Secondary Insurance Works with Medicare
AARP secondary insurance works by paying for costs that Medicare doesn’t fully cover. When you have both Medicare and a secondary insurance policy, Medicare will pay its share of your covered medical expenses first, and then the secondary insurance will cover the remaining costs, up to the policy’s limits.
For example, if you visit the doctor and Medicare pays its portion of the bill, your AARP secondary insurance will then cover the remaining amount that Medicare doesn’t pay, potentially eliminating or reducing your out-of-pocket expenses.
AARP’s secondary insurance is structured to work with Medicare Parts A and B, but some plans can also include prescription drug coverage (Part D) as well as additional benefits, depending on the specific policy.
AARP Medigap Plans
AARP offers Medigap insurance plans to help cover the gaps left by Original Medicare. Medigap plans are standardized by the federal government, meaning that each plan offers the same basic benefits, no matter which insurer provides the policy. However, premiums and additional coverage options may vary.
AARP’s Medigap plans are labeled with letters (Plan A, Plan B, Plan C, etc.) and each plan provides different levels of coverage. Some of the benefits that may be covered under AARP’s Medigap plans include:
- Hospital stays: Coverage for coinsurance and hospital costs not covered by Medicare Part A.
- Skilled nursing facility care: Medigap may cover additional costs not covered by Medicare.
- Blood: Medigap can cover the cost of the first three pints of blood in a given year, which is not covered by Medicare.
- Foreign travel emergency coverage: Some Medigap plans offer coverage for emergency care while traveling outside the United States.
The most common Medigap plans include:
- Plan F: Offers the most comprehensive coverage, covering all deductibles, coinsurance, and copayments, including coverage for excess charges.
- Plan G: Offers similar benefits to Plan F but does not cover the Medicare Part B deductible.
- Plan N: Provides lower premiums in exchange for slightly reduced coverage on copayments and coinsurance.
Why Consider AARP Secondary Insurance to Medicare?
There are several reasons why AARP’s secondary insurance to Medicare might be a smart choice for you:
1. Lower Out-of-Pocket Costs
Medicare leaves many gaps in coverage, such as deductibles, coinsurance, and copayments. AARP’s secondary insurance can help cover these out-of-pocket costs, potentially saving you hundreds or even thousands of dollars per year in healthcare expenses.
2. Peace of Mind
Knowing that you have coverage for unexpected medical costs can provide peace of mind, especially as you age and may require more medical care. AARP’s secondary insurance helps ensure that you’re protected against surprise medical bills and unexpected health events.
3. Wide Network of Providers
AARP’s secondary insurance plans are offered through UnitedHealthcare, which has an extensive network of healthcare providers. This means you’ll have access to many doctors, hospitals, and specialists, ensuring that you receive the care you need, when you need it.
4. Comprehensive Coverage
AARP offers a range of plans that provide comprehensive coverage, ensuring that you have access to the healthcare services and medications you need. Whether you need coverage for hospital stays, outpatient services, or prescription drugs, AARP has a plan that can meet your needs.
5. Flexibility in Plan Options
With various Medigap plan options, you can choose the level of coverage that fits your budget and healthcare needs. Whether you want comprehensive coverage or more affordable, basic protection, AARP offers plans to suit different preferences.
How to Apply for AARP Secondary Insurance to Medicare
To apply for AARP secondary insurance to Medicare, you will need to go through UnitedHealthcare, which partners with AARP to offer Medigap insurance plans. Here’s how to get started:
- Determine Your Eligibility: You must be enrolled in Medicare Part A and Part B to be eligible for Medigap coverage. You can apply for Medicare through the Social Security Administration if you’re not already enrolled.
- Review Available Plans: Explore the different Medigap plans offered by AARP, considering the benefits, coverage levels, and premiums for each plan.
- Get a Quote: Contact UnitedHealthcare or visit the AARP website to get a personalized quote based on your age, location, and health needs.
- Enroll in a Plan: Once you’ve selected a plan, you can complete the enrollment process through UnitedHealthcare or an authorized agent. Make sure to apply during your Medigap Open Enrollment Period (the six-month window when you first turn 65 and are enrolled in Medicare) to avoid higher premiums or being denied coverage due to pre-existing conditions.
Conclusion
AARP secondary insurance to Medicare can provide significant benefits by filling in the gaps that Medicare doesn’t cover. Whether you’re looking for comprehensive coverage or want to reduce your out-of-pocket healthcare costs, AARP’s Medigap plans can offer the protection and peace of mind you need. With a range of plans, affordable premiums, and access to a broad network of providers, AARP makes it easier for seniors to manage their healthcare costs effectively.
Before choosing a secondary insurance plan, it’s important to evaluate your healthcare needs, budget, and the level of coverage you want. By carefully reviewing your options, you can ensure that you get the most appropriate insurance coverage for your health and financial situation.