Medigap Pricing Overview
Medicare Supplement Insurance (Medigap) policies are regulated by the states and don’t follow Medicare enrollment time frames. You may change your Medigap policy anytime by applying with another insurance carrier. Most carriers evaluate your risk factors and issue you a rate based on that evaluation through a process called underwriting. Different states have different rules, and some carriers may not require the evaluation depending on your situation.
Each insurance carrier decides how it sets the price, or premium, for its Medigap policies. It’s important to consider how a carrier prices its policies. How it sets the price affects how much you pay now and in the future.
Medigap policies are priced, or “rated,” in three ways:
Community-rated (also called “no-age rated”)
Issue-age rated (also called “entry-age rated”)
Attained-age rated
Medigap policy rate increases may happen at different times of the year for different insurance carriers, adjusting for inflation and health care costs. Some carriers may raise rates as you age into higher age brackets or offer discounts to new enrollees.
If your rate increase is more than 12% or if you have any questions about Medigap policies available to you, call and speak with one of our licensed benefit advisors about your options. We can review the current rates for other insurance carriers and their enrollment criteria.
*Our licensed benefit advisors specialize in health insurance for retirees. They go through annual training and certification to ensure they can help you make an informed and confident decision.