As of 2020, Medicare Supplement plans (AKA Medigap) will no longer sell new Medigap Plan C or F. Congress has decided that new Medigap plans will no longer be allowed to cover the Part B deductible after January 1, 2020. This will only affect plans C and F and will only impact certain beneficiaries as explained below.
How is Medicare Changing in 2020?
Congress believes that by requiring all Medicare members to pay their part B deductible this will reduce medical overuse. Since Medigap Plans C and Medigap Plan F* are the only plans that cover the part B deductible, they will be the only plans affected by this change.
Who is Impacted by the 2020 Medigap Change?
New enrollees on or after 1/1/2020 will no longer have the option of Medigap Plan C or Medigap Plan F. All other plans currently available should still be available for purchase. Anyone enrolled in a Medigap Plan C or Medigap Plan F as of 12/31/2019 will be “grandfathered” and able to continue with their plan as long as want. So if you currently have a plan F you will be able to keep it.
Beneficiaries That Will Be Able to Keep Plan F or C
The good news for people who join Medicare Part A prior to January 1, 2020, is that Medicare supplement Plan F and C will still be available to you. You will be able to continue to shop for and pick up or change companies for your Medicare supplement Plan F or C after this date (and plans will be available from companies) as long as you can qualify medically (or are in an Open Enrollment or Guaranteed Issue situation).
Beneficiaries That Will NOT Be Able to Keep Plan F or C
For people who join Medicare Part A on or after January 1, 2020, you will unfortunately not have the ability to purchase a Plan F or C. The most comprehensive plan available to you will be Medicare supplement Plan G. Plan G works identically to Medicare supplement Plan F with the only difference being Plan G not covering the Part B deductible. Outside of that one difference, they work the same. Also, in guaranteed issue situations, Medicare supplement plan G will be available with no medical underwriting requirements starting January 1, 2020.
So, if you own a Medicare supplement Plan F or C when January 1, 2020 comes around you don’t have to do anything as your coverage will still work; however, if you decide you do want to shop the market at that time to determine if you might be able to find a better rate for your coverage you can call (512) 677-9558 to speak with one of the friendly and knowledgeable licensed agents.