Medicare Advantage
plans are a type of health insurance plan that senior citizens can purchase in order to obtain additional medical benefits that are not provided with regular Medicare. While this type of plan can potentially provide you with more coverages, you need to evaluate them carefully to make sure you won't end up paying more than under standard Medicare.
Networks
If you choose the less expensive HMO and PPO Medicare Advantage options, you will have a network of covered providers and medical facilities. As with non-Medicare plans of the same type, providers outside the HMO network are not covered, while providers outside the PPO network may be covered, but at a lower percentage. If you choose the wrong plan, it could mean that the doctor you want to see is no longer covered under your plan or will cost you more out-of-pocket. It could also mean traveling to a hospital or medical facility farther from your home.
Costs
Medicare Advantage plans can also increase your costs. According to an August 2010 article in the Jacksonville Daily Progress, the out-of-pocket maximum charge for most of these plans -- which includes deductibles and copays -- is somewhere between $3000 and $5000. With these plans, you are foregoing your original Medicare benefits and choosing these benefits. This means that the costs for medical services might actually be higher with this type of plan.
Unnecessary Coverages
When you purchase a Medicare Advantage plan, you will likely choose it because of the additional coverages that you will receive. In some cases, people end up paying for coverages they never use. When you enroll in Medicare Advantage, you need to evaluate the coverages to determine if you are paying for something you don't actually need.
Tags: Medicare Advantage, network covered, Advantage plans, Medicare Advantage plans, need evaluate
