To be a savvy shopper when looking for the right retirement health insurance, it’s important to be able to “talk the talk.” There are a lot of factors to consider when comparing plans, such as deductibles, and fully understanding your options can help you pick the plan that will work well for you.
For many people, the process of finding and comparing plans is overwhelming. The good news is that RetireMEDiQ is here to help! Learning the basic terms and phrases involved in finding the right insurance plan for you is a great first step, and our experts can show you the way.
What is a Medicare Deductible?
One word that comes up regularly during the retirement insurance selection process is “deductible.” Here are three things to know about your deductible:
- A deductible is the amount of money you pay for health care services before your health insurance begins to pay. Depending on the type of plan you have, deductibles are primarily understood as the amount of money you must spend out of pocket before your insurance kicks in. For instance, if your Medicare plan has a $1,500 deductible, you will likely pay 100 percent of the cost until your expenses reach $1,500. After you “hit your deductible,” you usually pay a flat rate (copayment) or percentage (coinsurance) of the cost of care.
- Under the Affordable Care Act, preventive services offered by an in-network provider are fully covered by insurance. Most health plans are now required to cover a set of preventive services and screenings at no cost to you. However, don’t forget that this is when you see an in-network provider. This means a doctor, pharmacy or health care facility that is included in your plan’s network. Many services that are considered “preventive” could be paid for by your insurance company and won’t count toward your deductible. You can find a list of covered preventive care services here.
- Your deductible is only one part of your total insurance costs. When comparing plans, it is also important to consider other costs, such as your monthly premium and your out-of-pocket maximum. A clear understanding of your total possible health care expenses can help you find a plan that meets your budget and your needs.
Make an Informed Decision and Save!
Having the right policy in place when you need it can save you money. But even more than that, it can also save you stress and worry! If you’re unsure about how much coverage you need or what type of plan you can afford, we can help. Our Benefit Advisors will guide you through the decision-making process and help you find the right plan for your needs.