Action Timeline NCRO INSURANCE COMMITTEE PAUL GRITT September 19 th - PowerPoint PPT Presentation

Social Security and Medicare Action Timeline NCRO INSURANCE COMMITTEE PAUL GRITT September 19 th 2019 9/19/19 1

Social Security Milestones & Actions Milestones No increase In benefits After 70 At 62 Earliest you Can start SS Payments at a Reduced level Before Full Retirement Age (FRA) Income > $17,640 will be penalized FRA is determined by Year of Birth 2019 FRA 66 +2mo AGE > 61 62 63 64 65 66 67 68 69 70 71 1943 1954 1960 Actions 4 Months Before 62 Make appointment at local SSA office 9/19/19 2

HEALTHCARE BENEFITS Medicare etc. 9/19/19 3

Transitioning to Medicare Insurance, Age 64 events • Enroll in "Non-Medicare Eligible" benefits for pre-65 months in the year you will turn 65 during the Benefit Connect Retiree Choice Enrollment Period. • You will receive three Via Benefits mailings that explain the Medicare enrollment process and critical events. You are not limited to enrolling with Via Benefits. You can use your choice of health care consultants to obtain insurance. • Enroll in Medicare Part A and B if not receiving SS benefits • For Additional insurance coverage you have a choice of an Advantage, or Medigap Plan (you are not limited to using Via Benefits) • With a Medigap Plan you also need a Part D Drug Plan. (most Advantage plans include drugs) 4 9/19/19

Three Mailings You Will Receive From “Via Benefits” (Benefit Connect) 64th 65th FCA Insurance Coverage ends on the Birthday Birthday 1st day of the month you turn 65 Month 9 months after: 3 months after: 6 months after: you turn Supplemental General timing Process to enroll 65: Insurance & Webinar In Part A and B HRA Enrollment Information detail Guide 9/19/19 5

Medicare Milestones And Actions (Not Receiving Social Security) Medicare Starts 1 st of month you turn Milestones 65; All FCA Health coverage ends for you; Medical, Dental, Vision, hearing, drugs AGE > 62 63 64 65 66 67 68 69 70 61 71 Actions 2 Months Before 65 Sign up for Part D & Medigap or an Advantage Plan, optional Dental and Vision Plans 3 Months Before 65 Explore options for Call 1-800 MEDICARE Or go supplemental coverage and online and sign up for Part B, Part D (www.medicare.gov) Part A is automatic Via U.S. Gov. 9/19/19 6

Medicare Milestones And Actions (Already Receiving Social Security) At 65 Medicare Starts; All FCA Health Milestones coverage ends for you; Medical, Dental, Vision, hearing, drugs AGE > 62 63 64 65 66 67 68 69 70 61 71 Actions 2 Months Before 65 Sign up 4 Months Before 65 for Part D & Medigap or An Receive Medicare card Advantage Plan for parts A & B in the Mail. Accept both. No action required 3 Months Before 65 If You don’t Explore options for get the Medicare card in the supplemental coverage and Part D (www.medicare.gov) mail, Call 1-800- MEDICARE 9/19/19 7

How is Medicare Structured ? Medicare – Part A - Hospital Insurance From federal – Part B - Medical Insurance government – Part C - Medicare Advantage Private – Part D - Prescription Drug Coverage companies – Medigap - Medicare Supplement Insurance – Medicare does not include: dental, vision or hearing coverage. 9/19/19 8

Medigap ? Medigap = Medicare Supplement Insurance – Covers most or all of Part A and Part B co- pays, co-insurance and deductibles. – There are multiple Medigap plans from various insurance companies. – Medigap plans are defined by letters (A,B,D,E,G,N etc.) – All insurance companies must provide the same benefits for a given letter plan. 9/19/19 9

Part D ? Part D = Prescription Drug Coverage • Helps cover cost of prescription drugs. • Run by Medicare-approved private insurance companies. • Review every year because drug coverage and your needs often change. • This will be covered in detail in the next presentation. • If your income is over $85,000 single or $170,000, filing jointly, there will be a surcharge on part D premiums. 9/19/19 10

Advantage Plans ? Part C =Medicare Advantage Plan • Offer health plan options run by Medicare- approved private insurance companies. • Medicare Advantage Plans are a way to get benefits and services covered under Part A, B, and usually D. • Some Medicare Advantage Plans include extra benefits for an extra cost. • If drugs are not included you can get a separate Part D plan. • The insurance company takes over providing the benefits Medicare provides. 9/19/19 11

Common Elements • You must have both Part A and Part B • Part A is automatic and no cost to you. • Part B is $135.50/month for 2019 • If you make more than $85,000 single or $170,000/year (joint return) Part B will be more. 9/19/19 12

Differences Original Medicare+Medigap Medicare Advantage Plan  Go to any doctor or  Go to provider network hospital that accepts doctors and hospitals for Medicare. full coverage.  Co-pays for doctor visits +Medigap, +Part D  Usually no co-pays for  Almost always lower hospital or doctor monthly premium services.  Usually includes drug  Monthly premiums are coverage. more than Advantage  Some extra benefits. plans. 9/19/19 13

You have two Choices! Medicare Advantage Plan Original Medicare  Part A (Hospital)  Operated by private insurance companies  Part B (Doctors)  Combined Part A, B & D  Plus a Medigap policy  Doctors and hospitals in  Any doctor or hospital the network. (PPO or HMO) that accepts Medicare If your advantage plan  Plus a Part D policy does not include drugs A For this option get a Part D plan is required. Medigap policy and a part D policy. 9/19/19 14

Medigap Policies Medigap policies are standardized Every Medigap policy must follow federal and state laws designed to protect you, and it must be clearly identified as "Medicare Supplement Insurance." Insurance companies can sell you only a "standardized" policy identified in most states by letters. All policies offer the same benefits for each letter plan (A,B,G,N etc.) 9/19/19 15

Medicare Supplemental Insurance (Medigap) Standardized Policies – Benefits Offered 2020 Medicare first Plans Available to All Applicants eligible before 2020 only Benefits C F 1 A B D G K L M N Medicare Part A coinsurance and hospital coverage (up to an ✔ ✔ ✔ ✔ ✔ ✔ ✔ ✔ ✔ ✔ additional 365 days after Medicare benefits are used up) ✔ Medicare Part B coinsurance or ✔ ✔ ✔ ✔ ✔ 50% 75% ✔ ✔ copays apply Copayment Blood (first three pints) ✔ ✔ ✔ ✔ ✔ 50% 75% ✔ ✔ ✔ Part A hospice care coinsurance or ✔ ✔ ✔ ✔ ✔ 50% 75% ✔ ✔ ✔ copayment Skilled nursing facility coinsurance ✔ ✔ ✔ ✔ 50% 75% ✔ ✔ ✔ ✔ ✔ Medicare Part A deductible ✔ ✔ ✔ 50% 75% 50% $1364 (2019) ✔ ✔ Medicare Part B deductible $185 (2019) Medicare Part B excess charges ✔ ✔ Foreign travel emergency (up to ✔ ✔ ✔ ✔ ✔ ✔ plan limits) Out-of-pocket limit in [$5,560] [$2,780] [2019] 16 Chart is in handout 9/19/19

Medigap Premium Ranges Male Coverage starts Oct 1 st ,2019 Premiums vary widely (examples only). Plans (examples Plan A Plan N Plan G only) >>> Monthly Prem Monthly Prem. Monthly Prem. Age 65 $40-$342 $96-$151 $116-$376 Note: All premiums will probably go up each year. The % change will probably be different with different companies and premium methods. Plans C and F not available for people starting in 2020 You need to consider the premiums at older ages not just at 65 9/19/19 17

Medigap Premiums Vary by company and increase with Age Company Plan> A N G Age 65 $110 $112 $133 Humana 70 $125 $129 $153 75 $151 $155 $184 65 $179 $147 $170 CIGNA 70 $153 $187 $180 65 $73 $96 $117 AARP 70 $87 $115 $139 75 $126 $166 $201 2019 rates for men 9/19/19 18

Free guide Will be mailed Available from To you by Medicare.gov Medicare. or You can download it from Medicare web site. https://www.medicare.gov/sites/default/files/2019-05/10050-Medicare-and-You.pdf 9/19/19 19

New Medicare App 9/19/19 20

Shopping for Your Medicare Supplement, Medicare Advantage, Medigap and Part D Use on-line Use a Medicare Select on comparative Advisory service or or your own tools (insurance broker) AmWINS Via Benefits Medicare.gov Priority Healthcare Double Heath USA Blue Care Network Butler Capital Advisors Via Benefits BlueCross Blue Shield GoMedigap.com Humana SHIPP (MMAP) HAP Senior Care (AARP)United Sample of Healthcare available options 21 9/19/19

Medicare Gottcha’s • Make sure to sign up at least 2 months before the month you turn 65. This is the government and they need the full 2 months to get you set up. • Depending on your individual auto policy, if you live in Michigan, your insurance premium may go up when you go on Medicare because your auto policy will become primary coverage for any auto accident related medical expenses. • Delay in signing up for Parts B, D and/or an Advantage plan with Rx coverage will cause an increase in monthly premiums. • Monthly premium cost penalties are forever! • Medicare does not provide any coverage when you are out of the U.S. 9/19/19 22