Medicare Supplement Plan F 2020
It wasn’t too long ago that Supplement Plan F was the most popular of all the Medicare Supplements. This insurance plan covers every single supplemental expense which made it the coveted plan for many seniors, but not everyone could afford it. Now, Medicare Supplement Plan F 2020 is relegated to a status of “discontinued”. It’s still available and still being sold by private insurance companies, but not to the general public.
Let’s talk about Plan F and where it is now, as well as how much you will pay for it and what exactly this once-popular plan will cover for you.
Whatever Happened to Plan F?
You probably won’t see this Supplement plan being offered on any insurance company websites anymore. It has been listed as a discontinued plan for a little while now, thanks to new legislation that has severely restricted the market for Plan F. Now, the only people who are allowed to even sign up for the plan are those who are renewing their Plan F policy. No new subscribers can get it, even those who are subscribed to a different Supplement plan and just want to switch policies.
The reason this happened was because Plan F was being sold at an outrageous price most of the time. Insurers were charging sky high prices simply for the prestige that came with the full coverage plan. They knew they could charge more because Plan F offered peace of mind and simplicity to seniors who just wanted everything taken care of by a single plan. That’s what led to this plan being pulled off the market.
The new legislation demanded that no new subscribers could sign up for Plan F, and now the only people who even have access to it are those who are still signed up for it. If you are signed up for Plan F right now, then you are welcome to keep your coverage going for the foreseeable future. You can continue to renew your plan and get the same coverage you always have.
If you cancel your plan and choose something else, then you will not be able to sign up for Plan F again. It is going the way of several other plans that used to be offered but no longer are. Many of them are still being offered only to current subscribers of the discontinued plans, and once you cancel your Plan F subscription, you will not be able to get it back again.
The Cost of Plan F
That’s probably for the best, though, as the prices on Plan F are going to go much higher than they are now. Remember that we said that Plan F was being priced far too high? Well, this plan is only going to become much more expensive, since the insurance companies have to make their profits somehow. They cannot charge any new subscribers, so they have to make their money by charging the current subscribers even more. We expect to see Medicare Supplement Plan F 2020 to be priced far higher than it was last year and for the prices to simply increase for it at a much higher rate than they are for the other Supplement plans.
This is what happens when an insurance policy enters what is called a closed risk pool. Its prices increase because there are fewer subscribers and no new subscribers to offset the cost of inflation.
What drives the price up even more is that a lot of people are dropping Plan F in favor of something else. They are choosing plans like Supplement Plan G or Plan N. These offer similar coverage at a much better rate, so it’s no wonder people are choosing them over the far more expensive Plan F. We recommend any senior who has Plan F or who was considering Plan F as their policy to look at plans G and N and see if they are not a better match for them. They are far more economically priced and offer a lot of value to consumers.
Plan F is not set to change in any other way for the coming year. The coverage is expected to be the same as it ever was, but the plan is quickly losing its value. As the prices go up, the value will decrease, and there will be few people left who can say that Plan F is offering them anything worthwhile when compared to the other plans. If any changes are going to happen to Plan F, though, then you can see them here on our site. We will also show you what different insurance companies charge for this plan, so you can see how the rates compare. We suggest comparing them to other plans, though, just to see the big difference from one to the other.
Plan F’s Coverage
If you are not aware of what Plan F will cover of your healthcare expenses, then we do want to talk about that briefly here. Most people understand that this is a full coverage plan, but they may not know what that means exactly.
Plan F is designed to cover all of the supplemental expenses. That would be Medicare Part A’s deductible, copayment and coinsurance costs (for hospice care). It would also be Part B’s copayment, deductible and excess charges. Nursing care coinsurance is covered as well, as is foreign travel exchange and the first three pints of blood that you use for the year. This is all of the supplemental expenses there are, and Plan F is the only Supplement plan to provide that full coverage.
Most people don’t need all that cover, though, and they can save money by covering a couple of these expenses on their own, from their own finances. Still, check out Medicare Supplement Plan F 2020 and what it can do for you, but we urge you to consider other options and how they may save you even more. If you have questions, be sure to contact us to get them answered.