High Deductible Plan F 2019
The Medicare high deductible plan F 2019 has a deductible of $2,300 for the year. High F can be a great option for anyone aging into Medicare or on a Medicare supplement plan currently. The issue with High F is not the benefits or price. It has more to do with people not understanding how it works. If they did understand it, we would have a much higher percentage of Medicare supplement members in the high F vs. F,G or plan N.
High Deductible Plan F 2019 – How the “deductible” works
The $2,300.00 deductible on high F is not a traditional deductible. Most people will think they need to pay the first $2,300 of medical expenses they see. That is not the case with the high F plan. Medicare A and B provides coverage for medical services, it just does not cover it all. A general outline of A and B coverage is as follows.
Medicare A – Inpatient hospital deductible of $1,364.00 per admission
Medicare B – covers outpatient medical services. One time per year deductible of $185 and then covered at 80% -20%
On the high F plan, you will only pay the amounts not covered by Medicare. As a result, most people (about 95% of them) never come close to the $2,300 max out of pocket. The quickest way to hit the $2,300 if from hospital stays. A hospital indemnity plan can work for those that will have cash flow problems with the hospital deductible.
High Deductible Plan F 2019 – Provider access and other benefits
High F is a plan F but with a $2,300 deductible in front of it. You will pay substantially lower premium in a high F plans. Some states have extreme examples of this. NY for example, a plan F costs about $300 a month while the high F cost $63 a month. Do the math. The high F will win even if you do manage to max out the deductible on it. If someone does hit the deductible, the high F will cover the same as a traditional plan F.
High Deductible Plan F 2019 – No longer offered in 2020
High F will no longer be available as of 1-1-2020. Anyone in the plan will be able to stay in it but no one will be able to buy into it as of 2020. Not to worry however, a high deductible plan G will be available to take its place and will function the same way as high F.
High Deductible Plan F 2019 – Why are there not more people enrolled in it?
Two quick reasons why. Otherwise, there would be a much higher percentage of the Medicare eligible population in it.
- Most people do not understand how it works. This includes sales people and those looking to enroll in it.
- Sales people and companies tend not to focus on it as much because it the premium is very low. That means, it does not bring a lot of revenue to the insurance company and does not pay much commission to the sales person.
High Deductible Plan F 2019 – Solution to commission problem for those that want to offer it
If you are a rep that wants to offer this product to clients, we have a solution to the low compensation issue. We have a very unique contract that pays commission amount very similar to the level of a normal Medicare supplement plan. Call our office at 203-796-5403 if you want to learn more.
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