Medicare Open Enrollment Begins Oct. 15th. What Changes Can You Make to Your Coverage?

The Medicare Open Enrollment Period happens once a year between October 15 and December 7. During this time, current Medicare beneficiaries have the option to adjust their coverage for the coming year. This can be a useful option for those who may have recently changed medication, underutilized their current coverage or found they could use additional benefits.

What Changes Can Be Made During Medicare’s Open Enrollment?

During the open enrollment period, you are eligible to change your Medicare coverage, and you also have the option to switch between different Medicare plans. Below are a few coverage options you can choose to add, drop or adjust depending on your needs for the new year.

Medicare Advantage

Medicare Advantage (or Part C) is a type of healthcare plan offered by private companies contracted through Medicare. It’s designed to combine Part A (hospital insurance) and Part B (medical insurance) as well as, in some instances, offer a prescription drug plan or other additional coverage.

During open enrollment, you can choose to switch back to an original Medicare plan, if you found that Medicare Advantage did not fit your needs. Alternatively, you are also free to switch to a Medicare Advantage plan from an original Medicare plan during this period. Be sure to shop around for different options, as you’ll have several choices from various providers when it comes to choosing a Medicare Advantage plan. 

Medigap Coverage

Medigap is a supplemental insurance policy designed to help cover the costs of certain medical expenses that Medicare doesn’t cover. Your Medigap policy may cover expenses such as:

• Copayments
• Coinsurance
• Deductibles

Whether you’ve had Medigap coverage in the past or you’d find it beneficial moving forward, you can adjust, add or drop your Medigap coverage during open enrollment.

Medicare Part D (Prescription Drug Plan)

If you are utilizing a Medicare Advantage plan, this may not apply to you. But for those who have an original Medicare plan, it’s important to check for changes to your Part D coverage every year. Coverage through your plan can change yearly, and your prescription needs may change as well. Make sure your current plan has your needs covered through the next year. If not, now’s the time to look around for new coverage.

Can Anyone Make Changes During the Open Enrollment Period?

Medicare’s Open Enrollment Period is only for those who are already existing Medicare beneficiaries. 

If you have yet to sign up for Medicare, your period to do so runs between the three months before and three months after you turn 65.¹ If you miss this initial enrollment period, you cannot sign up for Medicare during the open enrollment period beginning in October. Instead, you must wait until Medicare’s general enrollment period, which runs from January 1 through March 31.¹  

Are Changes Made During Open-Enrollment Effective Immediately?

No, the changes you elect to make during Medicare’s open enrollment period will not go into effect until January 1, 2021. 

How to Search For Medicare Plan Options

For the 2020 plan year, U.S. seniors were asked to choose from over 3,000 Medicare Advantage Plans, with the number of plans available ranging from none in certain rural counties to as many as 31 in the most populous areas of the country.² No wonder Medicare enrollment and selection of benefits can be so confusing!

You should receive information from the government regarding your current Medicare coverage each year. If you are currently enrolled in a Medicare Advantage Plan or a Part D Plan, you should receive an Annual Notice of Coverage (ANOC) and/or Evidence of Coverage (EOC) from your plan. Read and review these notices carefully for any changes that may impact your current level of benefits in the new plan year. Even if your coverage or needs haven’t changed within the last few years, it’s still important to take time to review your current coverage and identify any areas for improvement. This is especially true this year as we all face uncertainty caused by the COVID-19 pandemic.

There are tools available online or by phone to learn more about other plans if you’re thinking about switching or changing coverage. Medicare offers a Plan Finder tool online or you can call 1-800-MEDICARE to find out about new Advantage plans in your area. Or, check out the State Health Insurance Assistance Program site to find help in your state. Lastly, experienced independent health insurance agents are also another great resource especially if you have specific needs which you want to confirm coverage.

Medical expenses can add up quickly, especially if your current coverage is not tailored to address your needs. Use this time to shop around for any changes that could be beneficial for the upcoming year.