Medigap Insurance - Avoid Rate Increases

Most clients will call our office two years after signing up for a Medicare Supplement plan asking how they can lower their Medigap Insurance. We explain there are several ways to maintain lower rate increases. Sometimes it may be a little hard to understand at first so we wanted to write an article that would help break it down a little further. We have been in the insurance business for over 25 years and have learned a few ways to lower premiums and try to keep them lower. This article covers these proven secrets to maintaining lower Medigap Insurance Premiums.

What is Medigap Insurance

Medigap plans cover the gaps in Original Medicare. These plans are standardized and fill in the holes of Medicare - like deductibles, coinsurance and copays. Over 10 million people are enrolled in these Medigap plans and they are sold by private insurance companies all over the country. United Healthcare and Mutual of Omaha are the two largest Medicare Supplement Carriers in business but they do not always have the best rates in their respected area.

Medigap - Rate Increases

Most Medicare Supplement plans will give rate increases each year. This can be caused by how they file their plans with the state in which they are selling. Most states and insurance companies rate their policies with "attained age status", which means that their plans can go up each year with the applicant's age. Also the policy holders will receive rate increases for any bad business or high loss ratios the plan has received in that state.

This can put a strain on a lot of seniors budgets and it can be extremely difficult to control. That is why Medicare Insurance Finders has published the top few ways to avoid rate increases with Medigap Insurance.

Medigap Insurance - Avoid Rate Increases
  1. Choose a non-guaranteed issue Medicare Supplement instead of a plan that has guaranteed issue rights in your state. A Plan F has guaranteed issue rights which means that the plan is available with no health questions to people in certain situations. These plans will experience higher rate increases most of the time because the block of business is not as healthy. A Plan G and a Plan N are great alternatives to the Plan F Medicare Supplement.
  2. Choose a secure rated carrier. Most seniors looking for insurance coverage want to choose an A rated carrier. This is highly recommend because our research shows that companies with B+ ratings or higher have better rate stability.
  3. Change plans every three years or so if your health does not stop you from answering the health questions. Our average customer replacing business sees over a $700 a year savings and couples will see over $1,200 a year savings.
  4. To get Online Medigap Insurance Quotes Click Here.